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Worksite Marketing

Contents of the Presentation



About Bajaj Allianz Life Insurance Co. Ltd.

Financial Planning- Concept and Critical Aspects

Worksite Marketing- Concept, Initiatives and Benefits

Bajaj Finserv Ltd.

[74%]
Allianz SE

[26%]
Joint Venture
Registered with Insurance Regulatory Development Authority (IRDA) vide Registration No. 116 dated 3
rd
Aug, 2001
About Bajaj Allianz Life Insurance Co. Ltd.

Allianz SE
[26%]


Joint
Venture
Figures for 2012-13
122 years of insurance
expertise
60 million lives insured
globally
World's Largest Insurance co.
by revenue: 106.4 bn Euros
Net Income: 5.49 bn Euros |
Operating Profit: 9.5 bn Euros
Worldwide 2
nd
largest by
Gross Written Premiums:
99.24 bn Euros
Insuring almost half of the
Fortune 500 cos.
Worlds 3rd largest AUM &
largest amongst insurance
cos.: 1438 bn Euros
Life and Health business
operating profit: 2.95 bn Euros
About Allianz SE

Bajaj Finserv Ltd.
[74%]


Bajaj
Finserv
Bajaj Allianz
Life Insurance
[74%]
Bajaj Finance
[61.99%]
Bajaj
Financial
Solutions
[100%]
Bajaj Allianz
General
Insurance [74%]
Shareholding of Bajaj Finserv Ltd. as of 31
st
March, 2013
About Bajaj Finserv Ltd.
Consistently amongst leading players in the private sector on all key parameters Gross premium,
Accumulated Profits, AUM, Net Worth, Number of Policies & Distribution Network
Indias most
profitable Life
Insurance
company for last 4
consecutive years
Accumulated
Profits of INR
3636 Cr.
Net worth of
INR 4844 Cr.
AUM stands
at INR
38003 Cr.
Solvency
Margin of
734 %
Renewal
premium of
INR
3,905 Cr.
New business
premium
stands at INR
2,988 Cr.
Figures as on 31
st
March, 2013
FY 2013-14:

NBP: Rs. 2592 Cr
AUM: Rs. 38313 Cr
Solvency Ratio: 734%
Bajaj Allianz: Key Highlights

Insurers Asset Under Management Solvency Margin Accumulated Profit / (loss) Net Worth
Financial year 2012-13 2012-13 2012-13 2012-13
Bajaj Allianz 37,978 734% 3,636 4,844
ICICI Prudential 73,728 396% -1,165 3,964
HDFC Standard 39,894 217% -843 1,361
Birla Sun life 22,929 295% -1,242 1,248
SBI Life 50,047 215% 1,683 2,710
Reliance Life 18,189 429% -2,162 1,231
Amount in Rs Cr Source: Public Disclosures
Industry Comparison on Critical Financial Parameters
Bajaj Allianz & Recent FPI Scores
The Funnel Performance Index (FPI) is a combined index of the brands performance that reflects the buying process. The
most recent study conducted for this states the following:
Brand Performance of Bajaj Allianz Life Insurance ranks at 2
nd
spot (only after LIC)
Bajaj Allianz has highest number of loyal customers among all private insurance brands
Bajaj Allianz achieves 2nd best customer ratings behind LIC
Financial stability and first-class products are the most important purchase drivers for Bajaj Allianz Life, followed by
trust and a good rate of return
The brand communication which focuses on sharing of knowledge that helps customers live a worry free life has
helped us attain a position of a company that is trusted, knows what customer needs and thus provides good
advice
Bajaj Allianz also achieves high ratings on Fair treatment and Quick processing
Bajaj Allianz: Brand Performance

Articulated portfolio strategy
for each product category
Assets allocation, monitoring
& review
Separate Control from execution




Focus on Safety, Stability &
Returns
Compliance with IRDA
guidelines
Regulatory reporting
Sound risk management
framework




Investment Management
Frame Work
Discipline
Research & Analytics
Processes & Controls
Investment Philosophy is to ENSURE SAFETY, LIQUIDITY, STABLE & SUSTINABLE RISK ADJUSTED
RETURNS FOR OUR POLICYHOLDERS
Investment Philosophy & Strategy
Investment Team Headed by Chief Investment Officer Mr. Sampath
Reddy (eminent fund manager in the industry)

Qualified as CFA, MBA, BE having more than 15 years Investment and
Research Experience across Bajaj Allianz, Principal PNB AMC, Voyager(
Hedge Fund), HSBC, ABN AMRO, etc.

Widely covered in Economic Times, ET Wealth, Bloomberg etc.
Chief Investment Officer - Profile

DEBT FUND MANAGER ASHISH GOYAL
WON THE MOST ASTUTE BOND FUND MANAGER
FROM ASSET MAGAZINE , SINGAPORE


Fund Manager Achievement

Fund Manager Achievement Fund Manager Achievement

5 BALIC Equity Funds among TOP 10 Outperformers
Bajaj Allianz Life Insurance has been recognized with the following awards

Awards & Accolades

BAJAJ ALLIANZ HAS WON THE
SKOCH RENAISSANCE AWARD 2013 IN THE
PLATINUM CATEGORY
AT THE CORPORATE LEADERSHIP AND CORPORATE
CITIZENSHIP AWARDS DURING THE 34
TH
SKOCH
SUMMIT, NEW DELHI
Awards & Accolades


BAJAJ ALLIANZ LIFE
INSURANCE AWARDED WITH
PRESTIGIOUS SKOCH
FINANCIAL INCLUSION
ORGANIZATION
OF THE YEAR AWARD ON
5TH JANUARY, 2013,
THIRD TIME IN A ROW


Awards & Accolades

[The Award recognized Bajaj Allianzs rural
& micro insurance product, Sarve Shakti
Suraksha (SSS) as an affordable insurance
product catering to rural markets]



Financial Planning

What is Financial Planning

It is an ongoing process to help you make sensible decisions about
money that can help you achieve your goals in life

Why financial planning is critical for salaried persons



Limited and fixed resources for generating a flow of
income



Life Stages and Wealth Accumulation Necessity
Career Begins House Purchase Marriage
Family Grows
Career Progression Childrens Education
Childrens Marriage
Retirement Elderly Care
Six Steps to a
Sound
Financial
Planning
Review the
plan yearly
and make
adjustments
Work out
Assets &
Liabilities
Establish Goals-
Short, Medium,
Long Term
Implement
your plan
Create a
route map
for achieving
goals
Evaluate
current
financial
position
1
2
3
4
5
6
Personal Financial
Review
Critical Aspects of Financial Planning
Debt
Bank Fixed
Deposits
Post Office
Saving
Schemes
Government
Securities
PPF
Equity
Shares
Equity Mutual
Funds
Equity based
ETF
ELSS
Hybrid
Insurance
Mutual Funds
Worksite Marketing is a distribution method used to offer voluntary insurance
products (employee benefits) to employees at their place of work with the
sponsorship or backing of their employer
Worksite Marketing- Creating long term value for Employees &
Corporates
Investment Instruments
INSTRUMENTS ADVANTAGES DISADVANTAGES
Stocks- ETF, Shares, Commodities
Diversified Portfolio, High returns, Controlled by
Regulated body
High risk, No Tax Savings
Fixed Deposits
Guaranteed in nature, Tax saving, Low Risk,
Controlled by Regulated body
Low Returns, penalty on closures
ULIP/Endowment plan
Tax Savings, Moderate risk, Diversified portfolio,
Cover all Eventualities, Controlled by Regulated Body
Moderate returns, Penalty on Early Closures
Mutual Funds-ELSS, SIP
Tax Saving, Portfolio Choice, Controlled by Regulated
body
Moderate returns, High Risk
Govt Schemes- PPF, MIS, NSC Tax Savings, Low Risk, Controlled by Regulated body Low returns, Tradeable option
Bonds Tax saving, Low risk, Controlled by Regulated body Very Low returns
NPS
Choice of portfolio management, Low Risk,
Compulsive, Controlled by regulated body
Moderate Returns, taxable maturity
Comparative Analysis
S.NO. INVESMENT SAFETY SECURITY
RATE OF RETURN ON
INVESTMENT
LIQUIDITY TAX SAVINGS REMARKS
1 Banking Sector - FDs
Investment
Guarantee
Controlled by RBI 8-10% Compounding Penalty on Closures
Lock-in period of 5
Yrs. Maturity Amount is
Taxable
Over Draft / Loan Facility against
FD's
2
Post Office Savings
NSC, KVP etc.
Investment
Guarantee
Controlled by Central
Govt. guidelines
8-10% Compounding/Average
on others
Penalty on Closures
Lock-in period of 5
Yrs. Maturity Amount is
Non Taxable
Loan Facility after 5 Yrs.
3
Public Provident Fund
(PPF)
Investment
Guarantee
Controlled by Central
Govt. guidelines
8.7% Compounding Penalty on Closures
Lock-in period of 15
Yrs. Maturity Amount is
Taxable
Partial withdrawal facility after 7
years.
4
Government
Securities/Infrastructure
Bonds
Investment
Guarantee
Controlled by Central
Govt. guidelines
6-8% Compounding Tradeable options
Lock-in period of 1-30
Yrs. MaturityAmount is
Taxable
Bonds are tradeable / Loan by PSU
Banks
5 Mutual Funds/Shares
Market Related
Risks
Controlled by SEBI
Average of 15-18% over a 8-10
yr platform
Anytime
Surrender options
Options of Short /
Long Term Surrender &
devoid of EET
Tax Saving Bonds with 3 yrs lock-
inavailable & Sector Specific &
Investments
6
Equity Linked Savings
Schemes (ELSS)
Market Related
Risks
Controlled by SEBI
Average of 15-18% over a 8-10
yr platform
Anytime Surrender
Options of Short /
Long Term Surrender &
devoid of EET
Tax Saving Bonds with 3 yrs lock-in
available & Sector
Specific Investments
7
Life Insurance Products
(Traditional)
Investment
Guarantee
Controlled by IRDA
10-12% compounding over a
10-20 Yr
Minimal Penalty on
early Closures
Lock-in period of 3
Yrs. Maturity Amount is
also Tax-free
Life Cover for the Investor. Loan
Facility after 5 Yrs.
8
Life Insurance Products
(ULIPs)
Investment
Guarantee/Market
Related Risks
Controlled by IRDA 15-18% over a 10-20 Yr
Minimal Penalty on
early Closures
Lock-in period of 3
Yrs. Maturity Amount is
also Tax-free
Life Cover for the Investor. Loan
Facility after 5 Yrs.
Eventful journey.Gracious Retirement
As we walk through life towards the Gracious retirement, it would be going to be a long and winding roadFrom the from the first
job and pay check, to saving our down payment for the first home, getting married and building a happy family and sending the
children to a nice tertiary education.
One of the biggest fear is Dying To Soon, as there is no right age to go and we dont know when.
There is another fear called as Living Death. This is the awful term refers to the serious illness or an disability due to accident where
in the person cant really financially support the family.
Living Too Long

The cost of the
education in India
is growing at the
rate higher than
inflation in the
economy, The
Primary education
and professional
courses cost grew
by 20% every year.






Protection Needs and Wealth Accumulation
CHILDREN FUTURE
WEALTH CREATION
LIVING TOO LONG DYING TOO SOON LIVING DEATH
.

















.





No one plans to
fail, most fail to
plan- Without a
specific financial
planning its difficult
to accumulate
wealth for the
loved ones and
creating a legacy
Hard Truth- 1 out of 5
Indians makes any
provision for
retirement.
Most important advice
in financial planning is
the strategy of First
Save, then spend,
which in turns gives
you a decent or even
Gracious Retirement.

Immediate Money-
Medical & Hospital
Expenses. Debt
Repayment Housing &
car loans, Outstanding
Bills. Providing for your
loved Ones- Education
Fund, Living expenses.
Possible forced sale of
assets Sell House car
below market prices, sell
stocks at loss

Disability- In 95% of
countries the medical cost
grew faster than general
inflation, In last year the
medical cost grew more than
15% per year in Asia.
Accidents- In India the
incidence of accidental
deaths are growing. Critical
Illness- For every 10 hearts
patients globally 6 are from
India, Heart diseases, cancer
and accidents are 3 of the
top 10 conditions for
medical expenses globally
Protection Needs and Wealth Accumulation
Protection
D
y
i
n
g

T
o
o

S
o
o
n

L
i
v
i
n
g

D
e
a
t
h

W
e
a
l
t
h

C
r
e
a
t
i
o
n

C
h
i
l
d
r
e
n

s

f
u
t
u
r
e

L
i
v
i
n
g

T
o
o

L
o
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g




Protection Gap
N
E
E
D

WEALTH CREATION
B
r
i
d
g
i
n
g


T
h
e

G
A
P

Enhance
employee
benefits
Higher
Employee
productivity
Financial
security to
employees
Long-term
goodwill
Better group
rates
Enhance
employee
benefits
Higher
Employee
productivity
Financial
security to
employees
Long-term
goodwill
Better group
rates
0
26867
40868
63328
101168
170507
319581
789150
25 30 35 40 45 50 55
Age at which saving Started
A
n
n
u
a
l

C
o
n
t
r
i
b
u
t
i
o
n

940344
1226032
1583195
2023253
2557603
3195810
3945751
The Later You Start
The more you need to pay
Saving required to generate
A Corpus of Rs 50 Lakhs at age of 60
Assumption return at 8%
Annual Contribution
Total Contribution
For Employer
Enhance
employee
benefits
Convenience
Higher
Employee
productivity
Financial
security to
employees
Long-term
goodwill
Better group
rates
For Employee
Portability-
Upon
resignation,
cover
continues
Protection
Extend
coverage to
Spouse and
Children
Group
discounts
Worksite Marketing- Benefits
Corporate Initiatives- Worksite Marketing
Special Plans
Servicing
Individual [WSM] Group
Group Gratuity

Leave Encashment

Super Annuation

EDLI
Financial Planning

Protection Gap
Identification

Analysis & Solution

Engagement Initiatives

Long Term Association
Engagement Initiatives

Employee Centric
Approach
Dedicated
Customer Focus
Unit

Multi-lingual,
multi-location call
center

Robust
infrastructure to
handle 9000-
10,000 calls per
day

Employer- Employee
arrangements

Key-Man Policies

HUF Plans

Partnership Plans

MWP act

Thank You

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