icici pru84226892
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EXECUTIVE SUMMARY:
In todays competitive world the topper is always doing something different
from others or may be the same thing in a much more different way. The same
logic goes for the business world too. With new competitors coming every
now and then the field of business, the company positioning should be strong
enough to retain its position in business.
ICICI PRUDENTIAL LIFE INSURANCE COMPANY
LIMITED has positioned itself strongly with high-class advisors, unit
manager, and technical persons.
The study that is being made is that to find the CHANNEL
DEVELOPMENT OF ICICI PRUDENTIAL
To make this research mostly Primary Data is being used, taking a sample
size of 150 people. The Research Methodology that is being implemented in
this study is SamplingMethod.
This result which was found from this research clearly shows a company
should be more flexible to the training program they organized for the high
profile advisor. The project undertaken is the through study of the services and
activities, which the company is willing to give each advisor.
From the survey it was revealed that ICICI PRUDENTIAL is doing quite well
in all the sections of its operations, but still it needs some perfection to attract
more and more HIGH PROFILE ADVISOR so that they will give more policy
for the company.
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ABOUT INSURANCE INDUSTRY
WHAT IS INSURANCE?
The business of insurance is related to the protection of the economic values
of assets. Every asset has a value; the assets would have been created through
the efforts of the owner. The asset is valuable to the owner, because he expects
to get some benefits from it. The benefit may be an income or something else.
It is a factory or a cow, the product generated by is sold and income generated.
In the case of a motor car, it provides comfort and convenience in
transportation. There is no direct income.
Every asset is expected to last for a certain period of time during which it will
perform. After that, the benefit may not be available. There is a life-time for a
machine in a factory or a cow or a motor car. None of them will lose for ever.
The owner is aware of this and he can so manage his affairs that by the end of
that period of life-time, a substitute is made available. Thus, he makes surethat the value of income is not lost. However, the asset may get lost earlier. An
accident or some other unfortunate event may destroy it or make it non
financial. In that case, the owner and those deriving benefits there from, would
be deprived of the benefit and the planned substitute would not have been
ready. There is an adverse or unpleasant situation. Insurance is a mechanism
that helps to reduce the effect of such adverse situation.
BRIEF HISTORY OF INSURANCE
The business of insurance started with marine business. Traders, who used to
gather in the Lloyds coffee house in London, agreed to share the losses to
their goods while being carried by ships. The losses used to occur because of
pirates who robbed on the high seas or because of bad weather spoiling the
goods or sinking the ship.
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The first insurance policy was issued in 1583 in England. In India, insurance
began in 1876 with life insurance being transacted by an English company, the
European and the Albert. The first Indian insurance company was the Bombay
Mutual Assurance Society Ltd, formed in 1870. This was followed by the
Oriental Life Assurance Co. in 1874, the Bharat in 1896 and the Empire of
India in 1897.
Later, the Hindustan Cooperative was formed in Calcutta, the United India in
Madras, the Bombay Life in Mumbai, the National in Calcutta, the New India
in Mumbai, the Jupiter in Mumbai and the Lakshmi in New Delhi. These were
all Indian companies, started as a result of the swadeshi movement in the early
1900s. By the year 1956, when the life insurance was nationalized and the Life
Insurance Corporation of India (LIC) was formed on 1st September 1956, there
were 170 companies and 75 provident fund societies transacting life insurancebusiness in India. After the amendment to the relevant laws in 1999, the L.I.C.
did not have the exclusive privilege of doing life insurance business in India.
By 31.3.2002, eleven new insurers had been registered and and had begun to
transact life insurance business in India.
PURPOSE AND NEED OF INSURANCE
Assets are insured, because they are likely to be destroyed, through accidentaloccurrences. Such possible occurrences are called perils, Fire, floods,
breakdown, lightning, earthquakes, etc, are perils. If such perils can cause
damage to the asset, we say that the asset is exposed to that risk. Perils are the
events. Risks are the consequential losses or damages. The risk to a owner of a
building, because of the peril of an earthquake, may be a few lakhs or few
crores of rupees, depending on the cost of the building and the contents in it.
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The risk only means that there is a possibility of loss or damage. The damage
may or may not happen. Insurance is relevant only if there are uncertainties. If
there is no uncertainty about the occurrence of an event, it cannot be insured
against. In the case of a human being, death is certain, but the time of death is
uncertain, In the case of a person who is terminally ill, the time of death is not
uncertain, though not exactly known. He cannot be insured.
Insurance does not protect the asset. It does not prevent its loss due to the
peril. The peril cannot be avoided through insurance. The peril can sometimes
be avoided, through better safety and damage control management. Insurance
only tries to reduce the impact of the risk and the owner of the assets and those
who depend on that asset. It only compensates the losses and that too, not
fully.
Only economic consequences can be insured. If the loss is not financial,
insurance may not be possible. Examples of non economic losses are love and
affection of parents, leadership of managers, sentimental attachments to family
heirlooms, innovative and creative abilities, etc.
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INDIAN INSURANCE SECTOR
The Insurance sector in India governed by Insurance Act, 1938, the Life
Insurance Corporation Act, 1956 and General Insurance Business
(Nationalisation) Act, 1972, Insurance Regulatory and Development
Authority (IRDA) Act, 1999 and other related Acts.
Life Insurance Corporation of India (LIC)
Life Insurance Corporation of India (LIC) was formed in September, 1956
by an Act of Parliament, viz., Life Insurance Corporation Act, 1956, with
capital contribution from the Government of India. The then Finance
Minister, Shri C.D. Deshmukh, while piloting the bill, outlined the
objectives of LIC thus: to conduct the business with the utmost economy,
in a spirit of trusteeship; to charge premium no higher than warranted by
strict actuarial considerations; to invest the funds for obtaining maximum
yield for the policy holders consistent with safety of the capital; to render
prompt and efficient service to policy holders, thereby making insurance
widely popular.
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Since nationalisation, LIC has built up a vast network of 2,048 branches,
100 divisions and 7 zonal offices spread over the country. The Life
Insurance Corporation of India also transacts business abroad and has
offices in Fiji, Mauritius and United Kingdom. LIC is associated with
joint ventures abroad in the field of insurance, namely, Ken-India
Assurance Company Limited, Nairobi; United Oriental Assurance
Company Limited, Kuala Lumpur and Life Insurance Corporation
(International) E.C. Bahrain. The Corporation has registered a joint
venture company in 26th December, 2000 in Kathmandu, Nepal by the
name of Life Insurance Corporation (Nepal) Limited in collaboration with
Vishal Group Limited, a local industrial Group. An off-shore company
L.I.C. (Mauritius) Off-shore Limited has also been set up in 2001 to tap
the African insurance market.
General Insurance:
General insurance business in the country was nationalised with effect from
1st January, 1973 by the General Insurance Business (Nationalisation)
Act, 1972. More than 100 non-life insurance companies including
branches of foreign companies operating within the country were
amalgamated and grouped into four companies, viz., the National
Insurance Company Ltd., the New India Assurance Company Ltd., the
Oriental Insurance Company Ltd., and the United India Insurance
Company Ltd. with head offices at Calcutta, Bombay, New Delhi andMadras, respectively. General Insurance Corporation (GIC) which was
the holding company of the four public sector general insurance
companies has since been delinked from the later and has been approved
as the "Indian Reinsurer" since 3rd November 2000. The share capital of
GIC and that of the four companies are held by the Government of India.
All the five entities are Government companies registered under the
Companies Act.
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The general insurance business has grown in spread and volume after
nationalisation. The four companies have 2699 branch offices, 1360
divisional offices and 92 regional offices spread all over the country. GIC
and its subsidiaries have representation either directly through branches or
agencies in 16 countries and through associate/ locally incorporated
subsidiary companies in 14 other countries. A wholly- owned subsidiary
company of GIC, i.e. Indian International Pte. Ltd. is operating in
Singapore and there is a joint venture company, viz. Kenindia Assurance
Ltd. in Kenya. A new wholly owned subsidiary called New India
International Ltd., UK has also been registered.
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NEW INSURANCE SCHEMES
UNIVERSAL HEALTH INSURANCE SCHEMEThe Universal Health Insurance policy is available to groups of 100 or more
families. The policy provides for reimbursement of medical expenses upto
Rs.30000/- towards hospitalisation floated amongst the members of the
family, death cover due to an accident for Rs.25000 to the earning head of
the family and compensation due to loss of earning head of the family @
Rs.50/- per day upto a maximum of 15 days, after a waiting period of
three days, when the earning head of the family is hospitalized. The
premium under the policy is Rs.1/- per day (i.e. Rs.365/- per annum) for
an individual, Rs.1.50 per day for a family of five limited to spouse and
children (i.e. Rs.548 per annum), and Rs.2/- per day (i.e. Rs. 730 per
annum) for covering dependent parents within the overall family size of
seven. A subsidy of Rs. 100 per year towards annual premium for "Below
Poverty Life" families is also provided under the Scheme.
For purpose of this policy HOSPITAL means:
Any Hospital/Nursing home registered with the local authorities and under the
supervision of a registered and qualified Medical practitioner.
Hospital/ Nursing Home run by Government.
Enlisted hospitals run by NGOs/ Trusts/ selected private hospitals with fixed
schedule of charges.
Hospitalization should be for a minimum period of 24 hours. However, this
time limit is not applied to some specific treatments and also where due to
technological advancement hospitalization for 24 hours may not be
required.
Main Exclusions:
All pre-existing diseases.
Corrective, cosmetic or aesthetic dental surgery or treatment.Cost of spectacles, contact lens and hearing aid.
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Primarily diagnostic expenses not related to
sickness/injury.
Treatment for Pregnancy, Childbirth, Miscarriage, abortions etc.
Age Limitations:
This policy covers people between the age of 3 months to 65 years.
Floater Basis:
The benefit of family will operate on floater basis i.e. the total
reimbursement of Rs. 30,000/- can be availed of individually or
collectively by members of the family.
For further details please refer the Prospectus or the Policy Document
issued by the Insurance Company.
Barista Pension Bema Yolanda
Scheme
Indian citizens aged 55 years (last birthday) and above are eligible (no upper
age ceiling).
Pension will be paid during the lifetime of the pensioner.
In the event of unfortunate death of the pensioner, purchase price will be paid
to the nominee/ legal heir of the pensioner.
Mode of payment of pension : Monthly, Quarterly, Half Yearly or Yearly.
Minimum pension is Rs. 250/- per month
Maximum pension is Rs. 2000/- per month.
Only one person from a family can apply. The family for this purpose shall
comprise of the pensioner, his/ her spouse and dependants.
Age proof will be required. Where age is to be admitted on declaration basis,
declaration on a stamp paper, signed in front of a notary shall be required.
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Premium
Only single premium (purchase price) is payable i.e. premium is to be
paid in one lump sum. Further, premium shall be accepted by cheques /
drafts payable on the Branch of the bank which is the member of the local
clearing house.
Exit Option
Exit option to be provided after 15 years.
Availability of Loan
Availability of loan to the extent of 75% of Purchase Price after 3 years.
Interest rate on loan to be decided by LIC from time to time. At present,
the rate of interest would be 10.5%.
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MAJOR POLICY CHANGES
Reforms In Insurance Sector
Insurance sector has been opened up for competition from Indian private
insurance companies with the enactment of Insurance Regulatory and
Development Authority Act, 1999 (IRDA Act). As per the provisions of
IRDA Act, 1999, Insurance Regulatory and Development Authority
(IRDA) was established on 19th April 2000 to protect the interests of
holder of insurance policy and to regulate, promote and ensure orderly
growth of the insurance industry. IRDA Act 1999 paved the way for the
entry of private players into the insurance market which was hitherto the
exclusive privilege of public sector insurance companies/ corporations.
Under the new dispensation Indian insurance companies in private sector
were permitted to operate in India with the following conditions:
Company is formed and registered under the Companies Act, 1956;
The aggregate holdings of equity shares by a foreign company, either by itself
or through its subsidiary companies or its nominees, do not exceed 26%,
paid up equity capital of such Indian insurance company;The company's sole purpose is to carry on life insurance business or general
insurance business or reinsurance business.
The minimum paid up equity capital for life or general insurance business is
Rs.100 crores.
The minimum paid up equity capital for carrying on reinsurance business has
been prescribed as Rs.200 crores.
The Authority has notified 27 Regulations on various issues which include
Registration of Insurers, Regulation on insurance agents, Solvency
Margin, Re-insurance, Obligation of Insurers to Rural and Social sector,
Investment and Accounting Procedure, Protection of policy holders'
interest etc. Applications were invited by the Authority with effect from
15th August, 2000 for issue of the Certificate of Registration to both life
and non-life insurers. The Authority has its Head Quarter at Hyderabad.
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INSURANCE COMPANIES
IRDA has so far granted registration to 12 private life insurance
companies and 9 general insurance companies. If the existing public
sector insurance companies are included, there are currently 13
insurance companies in the life side and 13 companies operating in
general insurance business. General Insurance Corporation has been
approved as the "Indian reinsurer" for underwriting only
reinsurance business. Particulars of the life insurance companies and
general insurance companies including their web address is given
below:
LIFE INSURERS Websites
Public Sector
Life Insurance Corporation of
Indiawww.licindia.com
Private Sector
ICICI Prudential Life Insurance
Co. Limitedwww.iciciprulife.com
Allianz Bajaj Life Insurance
Company Limitedwww.allianzbajaj.co.in
Birla Sun-Life Insurance
Company Limitedwww.birlasunlife.com
HDFC Standard Life Insurance
Co. Limited
www.hdfcinsurance.com
ING Vysya Life Insurance
Company Limitedwww.ingvysayalife.com
Max New York Life Insurance
Co. Limitedwww.maxnewyorklife.com
MetLife Insurance Company
Limitedwww.metlife.com
Om Kotak Mahindra Life www.omkotakmahnidra.com
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Insurance Co. Ltd.
SBI Life Insurance Company
Limited
www.sbilife.co.in
TATA AIG Life Insurance
Company Limitedwww.tata-aig.com
AMP Sanmar Assurance
Company Limitedwww.ampsanmar.com
Dabur CGU Life Insurance Co.
Pvt. Limitedwww.avivaindia.com
GENERAL INSURERS
Public Sector
National Insurance Company
Limitedwww.nationalinsuranceindia.com
New India Assurance Company
Limitedwww.niacl.com
Oriental Insurance Company
Limited
www.orientalinsurance.nic.in
United India Insurance
Company Limitedwww.uiic.co.in
Private Sector
Bajaj Allianz General Insurance
Co. Limitedwww.bajajallianz.co.in
ICICI Lombard General
Insurance Co. Ltd.www.icicilombard.com
IFFCO-Tokio General
Insurance Co. Ltd.www.itgi.co.in
Reliance General Insurance Co.
Limitedwww.ril.com
Royal Sundaram Alliance
Insurance Co. Ltd.www.royalsun.com
TATA AIG General Insurance www.tata-aig.com
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Co. Limited
Cholamandalam General
Insurance Co. Ltd.www.cholainsurance.com
Export Credit Guarantee
Corporationwww.ecgcindia.com
HDFC Chubb General
Insurance Co. Ltd.
REINSURER
General Insurance Corporation
of Indiawww.gicindia.com
PROTECTION OF THE INTEREST OF POLICY
HOLDERS:
IRDA has the responsibility of protecting the interest of insurance
policyholders. Towards achieving this objective, the Authority has taken
the following steps:
IRDA has notified Protection of Policyholders Interest Regulations 2001 to
provide for: policy proposal documents in easily understandable
language; claims procedure in both life and non-life; setting up of
grievance redressal machinery; speedy settlement of claims; and
policyholders' servicing. The Regulation also provides for payment of
interest by insurers for the delay in settlement of claim.
The insurers are required to maintain solvency margins so that they are in a
position to meet their obligations towards policyholders with regard to
payment of claims.
It is obligatory on the part of the insurance companies to disclose clearly the
benefits, terms and conditions under the policy. The advertisements issued
by the insurers should not mislead the insuring public.
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All insurers are required to set up proper grievance
redress machinery in their head office and at their other offices.
The Authority takes up with the insurers any complaint received from the
policyholders in connection with services provided by them under the
insurance contract.
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Insurance Company Market Share (Fig. in
%)LIC 71.44
ICICI Prudential 11.35
Bajaj Allianz 7.06
HDFC Standard Life 2.37
SBI Life 1.81
Birla Sun Life 1.49
Max New York Life` 0.98
TATA AIG 0.79
Aviva 0.89
OM Kotak Mahindra 0.86ING Vyasa 0.57
Reliance 0.37
MetLife 0.24
Market Share of Life Insurance Companies as of May 2006.
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ABOUT ICICI PRUDENTIAL
ICICI Prudential Life Insurance Company is a joint venture
between ICICI Bank, a premier financial powerhouse and Prudential
Plc, a leading international financial services group headquartered in
the United Kingdom. This joint venture is formed in the year Dec, 2000
and ICICI Prudential was amongst the first private sector Insurance
companies to begin operation in Dec, 2000 after receiving approval
from the Insurance Regulatory Development Authority (IRDA).
For the year ended March 31, 2006, the company garnered Rs
24.12 billion of weighted new business premium and wrote 837,963
policies. The sum assured in force stands at Rs 458.88 billion. The
company has a network of over 72,000 advisors; as well as 9 banc
assurance partners and over 200 corporate agent and broker tie-ups. It
is also the only life insurer in India to be assigned AAA credit rating
from Fitch Ratings. For the past five years, ICICI Prudential has
retained its position as the No. 1 private life insurer in the country,
with a wide range of flexible products that meet the needs of the Indian
customer at every step in life. ICICI Bank and Prudential Plc hold 74
percent and 26 percent stake respectively.
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PARTNERS
ICICI and Prudential came together in 1993 to form Prudential
ICICI Asset Management Company, which has today emerged as one
leading mutual funds in India. Riding on the success of this
relationship, the two companies joined hands ones more in 2000, to
form ICICI Prudential Life Insurance, with a commitment to provide
leading edge life insurance solutions.
ABOUT ICICI BANK
ICICI Bank is India's second-largest bank with total assets of
about Rs. 2,513.89 bn (US$ 56.3 bn) at March 31, 2006 and profit after
tax of Rs. 25.40 bn (US$ 569 mn) for the year ended March 31, 2006
(Rs. 20.05 bn (US$ 449 mn) for the year ended March 31, 2005). ICICI
Bank has a network of about 614 branches and extension counters and
over 2,200 ATMs. ICICI Bank offers a wide range of banking products
and financial services to corporate and retail customers through a
variety of delivery channels and through its specialized subsidiaries
and affiliates in the areas of investment banking, life and non-life
insurance, venture capital and asset management. ICICI Bank set up its
international banking group in fiscal 2002 to cater to the cross border
needs of clients and leverage on its domestic banking strengths to offer
products internationally. ICICI Bank currently has subsidiaries in the
United Kingdom, Russia and Canada, branches in Singapore, Bahrain,Hong Kong, Sri Lanka and Dubai International Finance Centre and
representative offices in the United States, United Arab Emirates,
China, South Africa and Bangladesh. Our UK subsidiary has
established a branch in Belgium. ICICI Bank is the most valuable bank
in India in terms of market capitalization.
ICICI Bank's equity shares are listed in India on the Bombay Stock
Exchange and the National Stock Exchange of India Limited and its
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American Depositary Receipts (ADRs) are
listed on the New York Stock Exchange (NYSE).
ICICI Bank has formulated a Code of Business Conduct and Ethics forits directors and employees
At June 5, 2006, ICICI Bank, with free float market capitalization
of about Rs. 480.00 billion (US$ 10.8 billion) ranked third amongst
all the companies listed on the Indian stock exchanges.
ICICI Bank was originally promoted in 1994 by ICICI Limited, an
Indian financial institution, and was its wholly-owned subsidiary.
ICICI's shareholding in ICICI Bank was reduced to 46% through a
public offering of shares in India in fiscal 1998, an equity offering in
the form of ADRs listed on the NYSE in fiscal 2000, ICICI Bank's
acquisition of Bank of Madura Limited in an all-stock amalgamation in
fiscal 2001, and secondary market sales by ICICI to institutional
investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at
the initiative of the World Bank, the Government of India andrepresentatives of Indian industry. The principal objective was to
create a development financial institution for providing medium-term
and long-term project financing to Indian businesses. In the 1990s,
ICICI transformed its business from a development financial institution
offering only project finance to a diversified financial services group
offering a wide variety of products and services, both directly and
through a number of subsidiaries and affiliates like ICICI Bank. In
1999, ICICI become the first Indian company and the first bank or
financial institution from non-Japan Asia to be listed on the NYSE.
After consideration of various corporate structuring alternatives in the
context of the emerging competitive scenario in the Indian banking
industry, and the move towards universal banking, the managements of
ICICI and ICICI Bank formed the view that the merger of ICICI with
ICICI Bank would be the optimal strategic alternative for both entities,
and would create the optimal legal structure for the ICICI group's
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universal banking strategy. The merger would
enhance value for ICICI shareholders through the merged entity's
access to low-cost deposits, greater opportunities for earning fee-based
income and the ability to participate in the payments system and
provide transaction-banking services. The merger would enhance value
for ICICI Bank shareholders through a large capital base and scale of
operations, seamless access to ICICI's strong corporate relationships
built up over five decades, entry into new business segments, higher
market share in various business segments, particularly fee-based
services, and access to the vast talent pool of ICICI and i ts
subsidiaries. In October 2001, the Boards of Directors of ICICI and
ICICI Bank approved the merger of ICICI and two of its wholly-owned
retail finance subsidiaries, ICICI Personal Financial Services Limited
and ICICI Capital Services Limited, with ICICI Bank. The merger was
approved by shareholders of ICICI and ICICI Bank in January 2002, by
the High Court of Gujarat at Ahmedabad in March 2002, and by the
High Court of Judicature at Mumbai and the Reserve Bank of India in
April 2002. Consequent to the merger, the ICICI group's financing andbanking operations, both wholesale and retail, have been integrated in
a single entity.
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ABOUT PRUDENTIAL PLC
Established as the Prudential Mutual Assurance and Loan Association in 1848,
today it is an international financial services company with a product range
which extends from personal banking insurance, pensions and retail
investments, to institutional fund management and property investments.
Its portfolio of well-known and respected brands, including Prudential, M&G
Investments, Jackson National Life, Prudential Corporation Asia and Egg, has
attracted more than 19 million customers (and policy holders and unit holders)
worldwide. Across the Group it has 234 billion of funds under management
(at 31 December 2005).
Prudential has significant operations in the UK, the US and Asia, contributing
to a diversity of earnings. Worldwide it employ more than 20,000 people and
our shareholders number 60,942 (at 31 December 2005). We are listed on the
London and New York stock
In Asia, Prudential Corporation Asia has 23 operations in 12 countries. These
include strategic partnerships with some of the regions leading players,
including CITIC Group (for life business in China), ICICI Bank (for life and
mutual fund business in India) and Bank of China International (for
Mandatory Provident Fund business in Hong Kong). Prudential Corporation
Asia offers a wide range of savings, protection and investment products
tailored to the needs of our customers in each of the 12 markets in which
itoperate. In addition to its life insurance operations Prudential has asset
management businesses in India, Hong Kong, Japan, Taiwan, Malaysia,
Singapore, Korea, Vietnam and China managing over 26 billion (as of 30
June 2005).
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VISION
OUR VISION:
To make ICICI Prudential the dominant Life and Pensions player built on trust
by world-class people and service.
This we hope to achieve by:
Understanding the needs of customers and offering them superior
products and service
Leveraging technology to service customers quickly, efficiently and
conveniently
Developing and implementing superior risk management and
investment strategies to offer sustainable and stable returns to our
policyholders
Providing an enabling environment to foster growth and learning forouremployees
And above all, building transparency in all our dealings.
The success of the company will be founded in its unflinching commitment to
5 core values -- Integrity, Customer First, Boundary less, Ownership and
Passion. Each of the values describes what the company stands for, the
qualities of our people and the way we work.
We do believe that we are on the threshold of an exciting new opportunity,
where we can play a significant role in redefining and reshaping the sector.
Given the quality of our parentage and the commitment of our team, there are
no limits to our growth.
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PRODUCT OF ICICI PRUDENTIAL
SAVINGS PLANS
ICICI Prudential offers a variety of policies that give you the benefits of
protection and the opportunity to save for important assets or events, like a
home, a car or a wedding.
A regular premium unit-linked insurance plan with an assurance of Capital
Guarantee* and the facility of extended insurance cover.
*The capital guarantee is applicable only on the invested premium and the
declared bonus interests.
A regular premium unit-linked insurance plan with an assurance of Capital
Guarantee* along with flexible liquidity options.
A unit-linked insurance plan with an assurance of Capital Guarantee*, which
offers you the benefit of a limited premium payment and coverage term.
A market linked insurance plans that meets your Investment and Protection
needs.
Complete market-linked insurance plans that adapt itself to your changing
protection and investment needs, throughout a lifetime.
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An insurance plan that gives added protection savings and multiple
options, all in one!
An insurance plan that gives added protection savings, multiple options, plus
the power of liquidity.
A traditional endowment savings plan that offers both high returns and
protection.
An endowment savings plan that allows you to get back substantial survival
benefits without having to wait till the maturity date.
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CHILD PLANS
As a responsible parent, you will always strive to ensure a hassle-free,
successful life for your child. However, life is full of uncertainties and even
the best-laid plans can go wrong. Heres how you can give your child a 100%
safe and assured tomorrow, whatever the uncertainties. SmartKid is especially
designed to provide flexibility and safeguard your childs future education and
lifestyle, taking all possibilities into account. For further information on our
SmartKid Education Plans
1. Smart Kid regular premium
2. Smart Kid unit-linked regular premium
3. Smart Kid unit-linked regular premium II
4. Smart Kid unit-linked single premium II
All these plans offer you:
Financial Benefits: Regular payments at critical stages in your
childs life, like Board examinations, Graduation and Post-graduation.
Total peace of mind, even if you are not around
o Sum Assured is paid immediately: Ensures that your
loved ones stay financially secure, even in your absence
o All future premiums are waived: Ensuring that your
family is not financially burdened in your absence
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o Policy benefits continue: The
educational benefits of the policy continue, ensuring that your
child can realize his or her dreams without any hassles.
Development Allowance:SmartKid guarantees regular income to
secure your childs educational career and also ensures his or her all-
round development, for a nominal additional amount. The Income
Benefit Rider takes care of this through an annual payment of 10% of
the sum assured, to your child, till the maturity of the policy, in the
unfortunate event of the death of the parent.
All SmartKid plans can be enhanced with the Accident & Disability
Benefit Rider and Income Benefit Rider.You can also an Accident
Benefit Rider to a SmartKid Regular Premium policy,and a Waiver of
Premium Rider (WOP) to SmartKid unit-linked regular premium
policy.
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RETIREMENT PLANS
Life Expectancy has been rising rapidly and today you can expect to live
longer than your earlier generations. For you, this increase will mean a longer
retirement life, stretching into a couple of decades. ICICI Prudential presents
Retirement Solutions that combine the best of insurance and investment.
These solutions are developed to ensure your peace of mind for the years to
come.For further information on our Retirement Solutions
Choose from amongst 6 retirement plans:
A flexible unit-linked retirement solution that offers flexibilities during the
accumulation as well as payout phase.
A regular premium unit-linked pension plan with an assurance of Capital
Guarantee*
*The capital guarantee is applicable only on the invested premium and thedeclared bonus interests
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A regular premium linked pension plan that gives
you the freedom to choose the amount of premium, and invest in market-
linked funds, to generate potentially higher returns.
A single premium linked pension plan that gives you the freedom to choose
the amount of premium, and invest in market-linked funds, to generate
potentially higher returns.
A regular premium pension plan that gives you the flexibility to choosebetween 3 levels of sum assured for the same level of total annual contribution
A regular premium pension plan that helps you save for your retirement while
providing you with life insurance protection.
Choose from 5 Annuity options at the time of vesting
1. Life Annuity
2. Life Annuity with return of purchase price
3. Life Annuity guaranteed for 5, 10, 15 years
4. Joint Life, Last Survivor without return of purchase price
5. Joint Life, Last Survivor with return of purchase price
HEALTH PLANS
Comprehensive Cancer Protection Plan
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A Long-term Critical Illness Protection Plan.
A Long-term Critical Illness Protection Plan with Life Cover.
INVESTMENT PLANS
Lifelink Super is a unique single premium plan that combines the security of a
life insurance policy with the opportunity to enjoy potentially high returns on
your investments.
Low Allocation Charges:The premium allocation charges are amongst
the lowest across products. Allocation charge for single Premium of Rs
500,000 or more is 0%.
Death Benefit:There are 2 options for sum assured - 500% of the single
premium or 125% of the single premium. In the event of an unfortunate death,
the beneficiary will receive higher of the value of units or the initial death
benefit (adjusted for partial withdrawals*).
Liquidity: In order to meet liquidity requirements, one can make partial
withdrawals from the accumulated value of the policy after completion of
three policy years.
Flexibility:Choose from four fund options, based on your investment
objective and risk appetite. If at a later stage your financial priorities change,
you can switch between the various fund options, absolutely free, 4 times a
year.
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GROUP SOLUTIONS
In an era of competitive parity, the only asset that makes a decisive difference
between corporate success and failure is the quality
of human capital. Employee benefits have proven to be an excellent tool to
optimize the retention of talent and improve an organisations bottomline.
The quality of an organisations employee benefits establishes and maintains a
company's image as a caring employer. Optimum care of employees is a long-
term investment that results in a sustained competitive advantage for an
organisation in the times to come.
ICICI Pru Group Solutions Advantage
An integrated basket of employee benefit solutions that offer
incomparable flexible benefits.
Sound investment management that focuses on safety, stability and
profitability of the portfolio.
Personalised financial planning for your employee that takes care of
his/her changing financial needs at every stage of life.
Quality service initiatives and transparency across all operations,
promising superlative operational efficiency.
Group Term Insurance : Helps provide affordable cover to members of
a group.
Group Gratuity Plan : Helps employers fund their statutory gratuity
obligation in a flexible and hassle-free manner.
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Group Superannuation Plan : A flexible
scheme (defined benefit and defined contribution) to provide a retirement kitty
for each member of the group.
Group Term Insurance
ICICI Prudential's flexible group term solution helps provide affordable cover
to members of a group. The cover could be uniform or based on
designation/rank or a multiple of salary, and can be extended to all employees
between the ages of 18 and 65 years. The benefit under the policy is paid on
the event of the members death to the beneficiary nominated by the member.
It is a one-year renewable policy where one master policy covers all proposed
employees comprising the group, with a minimum group size of 25 persons.
New members can join the group and outgoing members can leave the group
at any point during the policy term.
Highlights include:
Greater conveniencefor the employees with relaxed underwriting
and medical requirements.
"Free Cover Limits" with simplified underwriting depending
upon the number of employees in the group and the level of cover
chosen.
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Guaranteed benefit : On death during
the term of the contract (while in service), the sum assured will be paid
to the beneficiary of the employee.
Choice of additional coverage in form an Accident and Disability
Benefit Rider and Critical Illness Cover
Premium is viewed as a business expense in the year of payment.
Group Gratuity Plan
ICICI Prudential's group gratuity plan helps employers fund their gratuity
obligation in a scientific manner. Employers can avail of the tax benefits as
applicable to approved gratuity funds. The plan can also be customized to
structure schemes that can provide benefits beyond the statutory obligations.
Highlights include:
Wider choice of investments with Market Linked Plans - to meet
the diverse financial goals. We offer the following investment options
(short-term debt, debt, balanced, growth and capital guarantee onthe short-term debt plan) where investments will be made in
accordance with the fund objectives
Transparency through Daily disclosure of Unit Value and regular
disclosure of the portfolio of each of the investment option
Flexibility through switching and contribution redirection option to
enable reshuffling of portfolio
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Bundled Life Covergreater value to the
employee by packaging life insurance cover with the gratuity, with
minimal amount of underwriting.
Actuarial servicesto provide a scientific estimation of the gratuity
liability.
Low explicit charge structure with the conditions for exit
specified upfront.
Enhanced service levels through faster claim settlement, easier
access to information and regular statements
Complete end to end solution in the legal and regulatory
approval process for scheme set up or transfer
Employee Benefits
The contribution made by the employer is not included in the value of
taxable perquisites in the hands of the employee.
Gratuity received up to Rs 350000 is exempt from Income tax under
Sec 10(10)
Employer Benefits
Annual contribution up to 8.33% of salary bill in a financial year is
allowed a deduction for the purpose of computation of profits and
gains of business.
Contribution towards past service liability is allowed as deduction as
per the Income Tax rules.
Group Superannuation Plan
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ICICI Prudentials Superannuation Scheme (for
both Defined Benefit and Defined Contribution funds) offers substantial
benefits to both employers and employees. The employer and employee can
avail of tax benefits applicable to an approved superannuation trust. The
scheme will provide for a retirement fund for each participating employee. An
employee would be able to choose from various annuity options or opt for
partial commutation of corpus at retirement.
Highlights include:
Wider choice of investments with Market Linked Plans -
to meet the diverse financial goals.We offer the following investment
options (short-term debt, debt, balanced, growth and
capital guarantee options on short-term debt, debt and
balanced)where investments will be made in accordance with the
fund objectives.
Control - Each member/employer can exercise greater control overinvestments by choosing one or more of the investment options.
Multiple Annuity Options - 5 annuity options and open market
option
Transparency - Transparency through Daily disclosure of Unit
Value and regular disclosure of the portfolio of each of the investment
option.
Flexibility - Flexibility through switching and contributionredirection option to enable reshuffling of portfolio
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Low explicit charge structure with
conditions for exit specified upfront.
Enhanced service levels through faster claim settlement, easier
access to information and regular statements.
Complete end to end solution in the legal and regulatory
approval process for scheme set up or transfer
RURAL PLANS
ICICI PrudentialLife Rural Products are designed to meet the needs of the
rural consumers. These products offer the following features:
1. Low and Affordable Premiums
2. Life Cover
3. Savings Option
4. Hassle free procedure
ICICI Prudential offers 2 specially designed rural plans.
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1. ICICI Pru Mitr Endowment Plan
2. ICICI Pru Suraksha - Regular Premium
ICICI Pru Mitr Endowment Plan
ICICI Pru Mitr offers the following features:
Life Cover and Savings
Regular Premiums
Age at entry : 18 - 45 Yrs
Premium Mode : Half Yearly / Yearly
Term : 5,10,15 Yrs
Sum Assured : Rs.5,000 -20,000
Premium / Year : Rs. 507 - 553 ( SA: Rs.10,000)
Maturity/Death benefit : Sum Assured
ICICI Pru Suraksha - Regular Premium
ICICI Pru Suraksha is a regular premium policy with the following features:
Individual policy
Only Life cover
Term - 3 & 5 Yrs
Age independent premium
Age at entry : 18 - 45 Yrs
Sum Assured : Single
Premium / Year : Rs 50 200
Maturity/Death benefit : Rs.5,000 - 20,000
Death Benefit : Sum Assurrance
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NRI PLANS
Being away from India doesn't mean you have to compromise the safety and
security of your loved ones. In fact, your savings from your time overseas can
be easily channelised to meet your family's needs - now and in the future. So,
whether its your dream to retire in your hometown; to secure
funds for your children's education; or to build assets, ICICI Prudential has a
range of solutions that can be customized to meet your needs.
Investment Plans
Savings Plans
Retirement Plans
Child Plans
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Investment Plans
You can hedge your investments with investment like LifeLink Super vehicles
that provide you with a diversified portfolio.
Savings Plans
Endowment policies are a good way of putting aside your savings today for a
future goal - whether it's to buy a house in India or fund your entrepreneurial
vision. Our savings-oriented policies are designed to make your savings grow
and have them available to you at the end of a fixed number of years or
through the term of the plan.
SecurePlus - an insurance plan that gives added protection savings
and multiple options, all in one!
CashPlus - an insurance plan that gives added protection savings,
multiple options, plus the power of liquidity.
LifeTime II - a complete market-linked insurance plan that adapts
itself to your changing protection and investment needs, throughout a
lifetime.
Save'n'Protect - a traditional endowment savings plan that offers
both high returns and protection.
CashBak- an endowment savings plan that allows you to get back
substantial survival benefits without having to wait till the maturity
date.
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Premier Life - A market linked
insurance plans that meets your Investment and Protection needs.
Retirement Plans
Many of us picture ourselves enjoying the fruits of our labour after retirement
- going on a dream vacation, or helping our child's career take wing. Financing
all this will depend on our personal savings and investments, so its important
to save for the future from today. Our retirement plans are designed to help
you systematically save, so that you can enjoy all the things you have dreamed
of when you retire.
LifeTime Pension II: A regular premium linked deferred pension
plan that gives you the freedom to choose the amount of premium, and
invest in market-linked funds, to generate potentially higher returns.
SecurePlus Pension : A regular premium deferred pension plan
that gives you the flexibility to choose between 3 levels of sum assured
for the same level of total annual contribution.
LifeLink Pension II : A single premium linked deferred pension
plan that gives you the freedom to choose the amount of premium, and
invest in market-linked funds, to generate potentially higher returns.
ForeverLife : A regular premium deferred pension plan that helps
you save for your retirement while providing you with life insurance
protection.
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Child Plans
As a responsible parent, you want to ensure a hassle-free, successful life for
your child. However, life is full of uncertainties and even the best-laid plans
can go wrong. SmartKid Education Plans are designed to provide flexibility
and to safeguard your child's future education and lifestyle, taking all
possibilities into account.
SmartKid Child Plans has a bouquet of three products which can help you
secure your childs education.
Unit-linked Regular Premium
Unit-linked Single Premium
Regular Premium SmartKid
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KEYMAN INSURANCE PLANS
A keyman is an individual who directly affects the profitability and the
continuity of a business and whose absence may have an adverse effect on the
health and continuity of the business. Keyman insurance is a life insurance
policy taken by the company on the life of such a key person.
The objective of the keyman insurance is to provide the company with money
so that the financial losses to the company can be protected, in absence of the
keyman. The aim is to indemnify the company of these losses and to allowbusiness continuity.
All premiums paid for securing a keyman life insurance policy are treated as
business expenditure u/s 37 (1).
Our Lifeguard plan is ideally suited for the purpose of keyman insurance
RIDERS
ICICI Prudential gives you the freedom to form your very own comprehensive
insurance policy by adding the rider benefits to the basic life insurance policy.
Add from the following list of benefits to increase the scope of your policy, at
a nominal cost.
Critical Illness Rider
Accident & Disability Benefit Rider
Accident Benefit Rider
Income Benefit Rider
Waiver of Premium Rider (WOP)
Critical Illness Benefit Rider
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Accident & Disability Benefit Rider
1. Benefits payable on death due to an accident
If the policyholder dies due to an accident, 100% of the rider
sum assured is paid in addition to the basic sum assured.
In case the policyholder dies in a land surface, mass public
transport system wherein the policyholder was traveling as a
fare-paying passenger, then 200% of the rider sum assured is
paid.
2. Benefits payable in case of permanent disability due to
an accident
If the policyholder survives an accident but becomes permanently
disabled then the premium for the basic plan is completely waived
off to the extent of the rider sum assured.
Plus, 10% of the rider sum assured is paid for the next 10 years,
which helps in providing that extra money and takes care of sudden
financial set back that occurs after a tragic disability.
Accident & Disability Benefit rider is available with Save n Protect, Cashbak,
SmartKid Child Plans, Golden Years, PremierLife, LifeTime, LifeTime II,
LifeTime Pension II, ForeverLife, SecurePlus, CashPlus, SecurePlus Pension,
LifeGuard ROP, LifeGuard WROP, Group Term Plan, InvestShield Life,
InvestShield Cash, InvestShield Gold and InvestShield Pension . In case of
Golden Years, PremierLife, Lifetime II, Lifetime Pension II, SecurePlus,
CashPlus, LifeGuard ROP and LifeGuard WROP, the waiver of premium
benefit is not available.
Premiums paid under this rider are eligible for tax benefits under Section 80C.
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Accident Benefit Rider
If the policyholder dies due to an accident, 100% of the rider sum assured is
paid in addition to the basic sum assured.
Accident Benefit rider is available with SavenProtect, CashBak, SmartKid
regular premium, ForeverLife, SecurePlus, CashPlus and SecurePlus Pension.
Premiums paid under this rider are eligible for tax benefits under Section 80C.
Income Benefit Rider
In case of death of the life assured during the term of the policy, 10% of therider sum assured is paid annually to the beneficiary, on each policy
anniversary till maturity of the rider.
Income Benefit rider is available with SmartKid Child Plans, SecurePlus and
CashPlus
Premiums paid under this rider are eligible for tax benefits under Section 80C.
Waiver of Premium Rider (WOP)
On total and permanent disability due to an accident, all future premiums for
both the base policy and rider(s) will be waived till the end of the term of the
rider or death of the life assured, if earlier.
Waiver of Premium rider is available with SecurePlus, CashPlus, LifeGuardROP, LifeGuard WROP, SmartKid Unit-linked regular premium II, Lifetime
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II, LifeTime Pension II, SecurePlus Pension,
InvestShield Life, InvestShield Cash and InvestShield Pension.
Premiums paid under this rider are eligible for tax benefits under Section 80C.
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RESEARCH
METHODOLOGY
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RESEARCH METHODOLOGY
The approach to the research is considered in this chapter, from the theoretical
underpinning to the collection and analysis of the data. It begins with the
extent of the research to provide the specific guidelines of studying. The next
part is concerned with the method of the research that refers to the data
collection and analyzing which is used in the research.
CONCEPTUAL CONTEXT OF THE RESEARCH
As the objective of the research focuses on the search of potential Insurance
Advisor with special emphasis of ICICI Prudential. It will help the company to
increase its sales, which is prime objective of the company at this time. The
research attempts to generate an awareness among the people of Lucknow
regarding the agency of ICICI Prudential.
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METHODS
PRIMARY DATA
Data collection of this research was done primarily through filling up of
questionnaires. The sample for the research including different individuals of
various age groups and having different profession and qualification. Data was
collected through the interview of individuals. The questionnaires was
containing questions regarding the personal details of individuals and then
some light question regarding their primary knowledge related to private
insurance companies. Then there were questions related to their interest in
being the Insurance Advisor of the company.
SECONDARY DATA
A large amount of secondary data has been collected from secondary sources.
Some of the sources are:-
Report on Insurance sector of India.
Articles from newspapers and magazines.
Various web sites of the insurance companies and related sites.
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IMPORTANCE OF ADVISORS IN AN INSURANE
COMPANY
In the insurance industry the sales team following the typicalorganization structure:Hierarchy in Insurance Company
The sales team comprises of the Sales Manager superior to Area Sales
Manager, These ASMs (Area Sales Manager) have their own
individual team of Unit Manager and in turn Unit Managers their own
team of financial advisors.
Each team of ASMs competing with each other in surge of achieving
targets; each Unit Manager depends on their Advisors for their
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SALES
MANAGER
AREA SALES
MANAGER
AREA SALES
MANAGER
AREA SALES
MANAGER
UNIT
MANAGER
UNIT
MANAGER
UNIT
MANAGER
ADVISORS ADVISORS ADVISORS
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business. So whats the use of unit manager,
why are they getting paid? There work is to manage their team of
Advisors, extend them support in what ever way possible including
regular training of products, closing big calls, database management.
But it is the advisor that carries the flag of the company in the market;
they bear the brunt in the field. They represent the company in the
market to the customers, so nobody can deny the importance of
Advisors in the whole system.
They providing the company with the business and help their
respective Unit Manager to achieve their targets. So a unit Manager has
to be really careful while recruiting their Advisors.
The most important responsibili ty is to achieve the f irst P or
Production growth its what staying in Business requires of an ICICI
Prudential Manager. Part of this growth is accomplished by improving
the productivity of the existing agency member. However, bringing
sufficient number of high quality new producers in to your sales
organization each year is an absolute must.During the year of appointment, new Advisor usually account for a
relatively small proportion of the organizations total production.
These points to a particularly significant fact, one that causes to have a
natural tendency to neglect the recruiting responsibility. It is simply
this the penalty for not recruiting, or for inadequate recruiting, is a
differed penalty.
Nonetheless, the penalty will be realized in due time. Again, the
number one job is to achieve consistent production increases. The most
promising means of successfully getting this job done is to induct a
sufficient number of quality advisors each year.
The most promising means of achieving profitable production growth
lies in your sales organizations capacity to give policy owners good
counsel and prompt, courteous serves to give them value for premium
paid. The best guarantee of having that capacity comes from retaining
large number of productive advisor, In turn retention and productivity
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of advisor in your organization depends largely
on the quality and quantity of your recruiting efforts.
Consequently, the development needs of your sales organization call
for successful recruiting. Its a necessity. The induction of a sufficient
quantity of high potential advisor results in substantial, steady growth
in production. This is why manager who move to the top of ICICI
Prudential honor roll and stay there are always found to be manpower-
focused.
Before we move to the how to of recruiting, lets consider some
important philosophies relative to recruiting.
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RECRUITING SUCCESS FORMULA
Study Exhibit 2, recruiting success formula. Develop your numbers.
This strategy will help keep you focused on your number one job
recruiting enough of the right kind each year.
Recruiting success formula
Before we move on to searching it is important to know the profile of
the adviser.
The general profile would be:
Age 25-45 years
Smart appearance and should health
Good market
High IQ and common sense
Ability to work under pressure
Prior sales experience
Integrity and character
Money motivation
Drive and ambition
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2 SELECTED
8 FOR INTERVIEW
30 CONTACTS
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STRATEGIES INVALVED IN SEARCHING
POTENTIAL ADVISORS
Searching for high potential prospective advisor
Your search for prospective advisors must be continuous and
systematic just like prospective for sales, you must search among
several sources on a regular basis sources are broadly classified as
primary source and secondary source.
Personal observation
This method of uniquely personal. It permits you to apply your own
standards and exercise your own judgment.
Always be on the alert for prospective adviser in your daily selling
activities in instinctively apprises as prospective advisors those you
see, meet or sell. Stay in circulation and meet a lot of people on a
regular basis. Develop these individuals as fr iends and clients, and then
determine whether or not to recruit them.
Present advisor recommendation
No one knows more about the kind of person you seek and the kind of
opportunities you have for the prospective advisor then the present
members of your sales organization. Moreover, they have a selfish
interest in wanting their associates to be type of person who will reflect
favorably on their organization. Many successful advisors have an
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Client referrals
Clients are readily accessible source of prospective advisor and
referrals. It is safe to assume that client who has relied upon your
agency to handle their insurance are pleased with both you and your
work. Since you have created a favorable impression, the can picture
themselves or others as having the same success.
Therefore, it is mostly a matter of helping them to help you by making
enquires and asking questions designed to remind them of names of
prospective advisors.
College campuses
Many high-potential, high quality young people are being recruited
directly from college. Todays college graduate seems to be more
interested in a meaningful career than most opportunities offer.
However, some caution should be used in recruited on campus. The
person you seek from college must have exhibited define leadership
qualities and have a history a success. Also most people in the final
year are looking for permanent jobs and might use this as a atop gap
opportunity. While targeting colleges it might be better to target
colleges, which has students coming from business communities. Also
targeting colleges offering professional courses might not work since
most of these students would be interested in pursuing their respective
profession.
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Seminars
Seminars recruiting are a resourceful strategy that breaks with
tradition. It makes it possible for the prospective advisor, as part of a
group, to obtain information opportunities in the insurance business, as
part of a group, the prospective advisors feels comfortable and quickly
develops open-mindedness to investigating the possibility of a career
insurance. S seminars include seminars conducted by the association,
doctors seminars, HR professional. These seminars are one way to
reaching out to many people not by making a presentation to the
participants but by also word of mouth since these participants would
like to their families and friends, so also the chain would continue.
Newspaper advertisement
Newspaper advertising created considerable activity. It is one of the
fastest ways to get name and talk people seeking a change in
employment. Consider as a Wholesale Method of widening your
range of contacts with prospective advisors. Keep in mind that
generally develops pop-up prospects that must be screened carefully.
Realize that valuable time can be wasted interviewing or qualifying
responds who really only job are hunting. - or who are in need of a job
right now. Advanced planning with a definite interview procedure will
keep u from falling into this trap. At ICICI prudential newspaper
advertisements are regular a mode.
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Direct Mail
Mass mailing is a system if used can be a very successful tool. One
system is to send letter with reply cards on a regular basis especially to
centers of influence. Use list from club, church and alumni
directories. The standards letter should briefly describe the rewards of
a successful insurance sales career. In a letter of this nature, attempt to
arouse the interest of the individual who receives it in the hope that he
or she will be more receptive to your follow-up. You will want to
investigate this innovation source for producing names of quality
prospective advisors.
A few examples of these COIs or centers of influence are:
Doctors
Lawyers
Pundits
Priests
Chartered Accountants
Teachers
NGO workers
Bankers
The one thing common to all these people is the contacts that the have
and the influence that the have over these contact.
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To insure a continuous flow of nomination from COIs, practice these
few basic rules for developing center of influences.
Keep contacting them on a planned basis. The center that gives
you one name will give you more if you keep in touch and ask.
Report back to your centers. Keep them informed of your result.
Eliminate from your list of those centers who do not prove to be
cooperative or productive or who continually give names of
people needing jobs.
Maintain visibility. Keep your name in front of them.
Select your centers with an eye to developing as many markets
as possible.
Show your appreciation. Let your centers know you appreciate
their help.
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Pre-Approach letters to Prospective Advisor
Sample one (mass mailer)
Dear. . (use the name)
We at ICICI prudential have a business opportunity to offer. With a
rapidly growing agency force and a business expanding by leaps and
bounds. I am looking at addition in my team. This career offers
potential for unlimited earnings and personal growth.
If you are a person with high energy levels and is looking for business
opportunities to be a successful entrepreneur, here is your chance!!
I would like to talk to you personally about this fantastic offer for you.
Please call me on. . (Tele. No.)
Thanks and Regards,
Manager
ICICI Prudential life Insurance Company Ltd.
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Sample two(Employee)
Dear. . (Use the name)
In view of the unusual progress made by ICICI Prudential life insurance
company, we are planning an expansion in our team of sales professionals.
Your name was referred to me as an ideal candidate for this role. I would their
ore like to present to you an opportunity of additional income through a
business with no capital investment.
I am looking for people who have the drive to achieve vertical financial
growth and want to make their dreams come true.
Ill be calling you within the next few days to arrange a visit so we can discuss
his important matter in greater details. You can then determine whether there
would be a mutual advantage in furthering our talks.
Thanks and Regards,
ManagerICICI Prudential life Insurance Company Ltd.
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Sample four (Businessman)
Dear. . (Use the name)
We at ICICI Prudential the no. 1 private insurer are offering you an
opportunity to diversify your business and enter the field of life
insurance. We have crossed 1,000 cores in term of our premium and
have sold over 1,000,000 policies.
A client of yours who was very happy with the service levels maintain
by you referred your name to me.
Here is an opportunity for you to earn more using your existent
infrastructure and clientele base. This business requires no capital
investment but can offer you high returns.
I would call on you to discuss this high return business personally.
Thanks and Regards,
Unit Manager
ICICI Prudential life Insurance Company Ltd.
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WHATS IN STORE FOR AN ADVISOR AT ICICI
PRUDENTIAL?
Being an ICICI Prudential advisor can be an enriching and existing career
option. Its an opportunity to associate with an industry leader, be in touch
with the latest and finest insurance practices from around the globe, and grow
both personally and professionally.
Here are some of the benefits of being an ICICI Prudential Life Insurance
Advisor:
Unlimited earning potential
A clear career path
All round support through exclusive advertising, your own in house
consultant, and World-class training.
A comprehensive benefit package
What does it take to be an ICICI Prudential advisor?
At ICICI Prudential, they believe their Advisors are their ambassadors to the
customers. They are key source of business for the organization, and are the
continuing link with their clients. That is why, they take a lot of care in
recruiting and developing their advisor force, so that they continue to set
higher standards of quality in service and salesmanship. To cater to the needs
of the knowledge-oriented marketplace, they look for graduates who are
service-oriented, good communicators and enjoy meeting new people. Prior
sales experience is an added benefit.
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Some of the qualities they seek are:
Self-motivation
A master communicator
A go-getter
A graduate]
Training
At ICICI Prudential, they understand the importance of training in a dynamic
business environment. Their advisors go through both generic and specific,
professional programs that help them remain well-informed and
knowledgeable about the companys product in the market. There is a further
focus on soft skills such as communication, managing long-term relationships
and selling skills, which are very relevant I a service-driven industry like life
insurance.
State of the art infrastructure training facilities coupled with an excellent
faculty, guarantee an exceptional learning environment. For advisor who
might be occupied with their daily business/professional routines, ICICI
Prudential also offers convenient training option such as online and self-
learning are also provided by the organization.
A 18-day training schedule covers the mandatory IRDA training requirement
and ICICI Prudential product training module. Revision session ensure that the
candidates thoroughly understand the course contents and are well prepared
for the licensing examination. Theoretical training is interspersed with
practical appointment settings with potential customers, giving advisors a feel
of how their business will work from the very first day. All through, the Unit
Manager and the management provide continuous support to the advisors in
achieving independence towards garnering business.
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Career
At ICICI Prudential, career development is emphasized upon from the very
day the advisor joins the system. Though individual meeting with his or her
manager, the advisor can discuss various issues related to business
development and career enhancement. Expectations from the organization in
terms of chalking a career in the insurance industry are also discussed.
Tiger Team: ICICI Prudential offers the Tiger team programmer for
identified high potential advisors. Hand picked by the management, these
advisors are placed on fast-track career path and recognized as Tiger
Trainers. The advisors can participate in this program, subject to certain
criteria being fulfilled.
Pinnacle Program: Absorption in to the management is another career
enhancement option provided at ICICI Prudential through the Pinnacle
Program. This program helps advisors build a full time career as a unit
manager in the organization, offering great potential for managing a team of
advisors and personal development. Fast track Pinnacle program is also
available to advisors who are able to meet the performance criteria within the
stipulated time.
Rewards and Recognitions
ICICI Prudential advisors are constantly recognized and rewarded for their
performance. Numerous contests all year round promote healthy competition
amongst advisors and recognition for their efforts. Depending on the level of
business the advisors achieve in a year, he or she can become a member of
various clubs such as the Presidents club, ICICI Prudential Star International
and ICICI Prudential Star India club. Each of these clubs have specific
performance criteria for qualification and members of these clubs are entitled
to attend seminars held at exotic international and domestic locations each
year. Advisors can also qualify for the renowned MDRT (Million Dollar
Round Table), an exclusive international advisors club.
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SOME BASIC MANDATED WHICH A MANAGER
ANSWERS BEFORE RECRUITING
WHY TO RECRUIT?
Because we are supposed to!!
Thats the way to do this business
More recruits, more active advisors, more BUSINESS!!
WHO TO RECRUIT?
Quality Dept. Has given some indicators in terms of what are the
common traits of our successful advisors
The commonalities are
Age : between 30-45
Education : Graduate
Family Income : above Rs. 2 lacs p.a.
This is a broad pointer for us to remember what are the
chances of a person doing good or bad from looking at his/her
profile
Some other pointers from Quality
Successful advisors usually have 2 years of work
exp. In their current profession.
Small time businessman/entrepreneursv. successful
profile.
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Women/housewife are
very successful However they have not been sustainable over
long periods. They usually have become inactive after 6-7
months of joining. But till the time they are working, their avg.
WAPI & productivity is very high compared to others
People who are new to city are least probable to do
well.
High probability of success
Tax/financial consultants, CAs
Bond/mutual fund agent
LIC agent-surrogates
Small business owners
Average profile
Women
Student
VRS/retired personnel
Avoidable profile
New to city
Income profile approx Rs. 1 lac p.a.
People who do not own their transport
THE MOST SUCCESSFUL PROFILE The person who has
been managed well by you.
Things which you should have while meeting the prospect
BOP presenter
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THE EARNING CALCULATOR WILL
BE OF HELP HERE.
RECRUITMENT ACTIVITIES
SOME MORE WAYS ON HOW TO RECRUIT
Data base attack
Cold Calling
RWA activities tambola or children painting competition give real
time leads, cost effective per lead.
THING TO CHECK WHILE RECRUITING
ENERGY, ENERGY.always check the persons energy levels, asthis career is all about meeting new people, finding new prospects and
more so handling rejection.
His past/present occupation gives tremendous insight into his energy
levels.
Show him the path in his current environment how insurance selling
can fit in lowers the resistance of time availability.
Check his environment his family, locality
Check whether he cam work on his own
Find out if he is looking for money or career as he can has both here.
Always try to meet the person at his residence check for locality, his
household, standard of living, try to involve the spouse in the
presentation so that they know what they are getting into.
ALWAYS check on need for money & a drive to do well in life if he
has been doing well in life, he will make efforts to do well with us ask
questions about his past, find instances of accomplishments.
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Keep checking on the pointers & do mental
checks list of the acceptable points.
Be convinced about the profile and then only go ahead.
PROFILE OF A MANAGEMENT TRAINEE
UNDER THIS PROJECT
My stint with ICICI prudential made me cover various aspects of insurance
industry. One of those to recruit financial advisors for the respective unit
manager. We were given the same profile as a Unit Manager; our number one
task was to recruit.
Various activities covered under this task:
Market skimming in search for the best suited profile for the
company.
Managing the advisors after they join the company.
Providing support to the advisors.
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DATA
ANALYSIS
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DATA ANALYSIS
There are some features of analyzing data that need to be borne in mind when
choosing the method for analyzing the research. The questionnaires were
prepared to explore the psychology of individuals about being associated with
ICICI Prudential as insurance advisor and to help the company grow by
increasing its sales. Instead of testing a hypothesis, a qualitative analyst may
demonstrate evidence showing that a theory, generalizing, or interpretation is
plausible.
SAMPLE SIZE
Various area ofLucknow were covered in order to fill the questionnaire. I
interacted with 111 individuals in order to know about their interest of being
Insurance advisor of ICICI Prudential.
Sample Size 111
SAMPLE COMPOSITION
I. YouthII. Executive
III. Serviceman
IV. Business person
RESPONSE OF QUESTIONNAIRE1. What is your full time profession?
a) Business -31 b) Govt. Service -17c) Private Jobs -42 d) Retired -14
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e) Housewife -07
Private Jo
38%
Business
2. According to you, the purpose of insurance is:
S. No. Parameters Order of preference
a. Pre-mature death 29
b. Living too long 12
c. Childrens future 33
d. Wealth creation 14
e. Tax saving 23
Wealth
creation
Tax saving
21%
3. What efforts can be made to bring about more awareness amongst people?a) Media Ads - 26 b) Banners - 04c) Newspaper - 15 d) Agents - 54e) Event Sponsorship - 07 f) Any Other - 05.
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Agents
48%
Event
Sponsorshi6%
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4. You know how many names of privateinsurance company?
a) Below 2 - 05 b) Between 2-4 - 61
c) Between 4-6 08 d) Above 6 37
Between 4-6
7%
Above 65. You like to work in market/field and want to interact with people?
a) Yes - 47 b) No - 64
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6. From how many years you live in NCR?a) Below 6 months - 13 b)
6 months 1 year - 61c) 1 year- 2 year - 27 d) more than 2 years - 37
1 year- 2 year20%
more than 2
ears7. How many people do you know in NCR?
a) Less than 200 - 27 b) 200-500 - 53c) 500-1000 - 21 d) Above 1000 - 10
-
Above 1
9%
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8. Do you like to earn some extra money?a) Yes - 87
b) No - 14
9. Are you involved in Insurance Business?a) Yes - 28 b) No - 83
No
75%
If YES, than answer the following question:
A. Duration of working?a) Below 6 months 12 b) 6 months 1 year - 06c) 1 2 years - 02 d) 2 3 years - 05e) Above 3 years -03
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6 months 1
year
22%
1 2 years
7%
2 3 years
15%
Above 3 yea
11%
B. Annual Productivity given to company?a) Below 50,000 - 00 b) 50,000 1, 00,000 - 00c) 1, 00,000 2, 00,000 - 02 d) 2, 00,000 3, 00,000 - 02
e) 3, 00,000 4, 00,000 - 07 f) Above 3, 00,000 - 17
Below 50%
50,000 1, 00,000
0%
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If NO, than answer the following question:
A. If given a choice, would you like to become a financial consultantof ICICI Prudential Life Insurance Company?
a) Yes - 55 b) No - 28
NoB. Which age group do you belong?
a) Below 25 - 41 b) 25 30 - 27c) 30 35 - 09 d) Above 35 -06
30 35
11%
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C. Are you married?a) Yes - 47 b) No - 36
No43%
D. What is your Educational Background?a) 10+2 - 13 b) Graduation - 40c) Post Graduation - 14 d) Professional - 13e) Other - 03
Professiona
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FINDINGS
People are becoming more and more money conscious as I find
very less person who doesnt want to earn extra money.
People are very much aware of ICICI Prudential among private
companies as they respond me first name of ICICI prudential
and then others.
The overall scenario is that still people trust on LIC more than
any other insurance company. Some time when I asked someone
to become an advisor of ICICI Prudential they misunderstood
with LIC. For them still life insurance means LIC.
Generally people are having leisure time of around 2-3 hours
and still want to utilize this time to earn extra money, if they
can.
Contrary to the prior thinking most of the people dont hesitate
in doing field work a roaming in the market for money. They
know that without hard work they cant earn money.
There were many respondents who were not interested in
attending seminar conducted by ICICI Prudential in their office,
because of low awareness of private insurance company.
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Need to create and effectively deploy differentiated strategies in
finding out more resources to recruit insurance advisors.
Right prospects identification and thus segmentation, which
need to be appropriate.
Design and manage sales force, which yields high performance.
More training of the employees can be done so that they produce
best result.
Recruitment process needs to be slightly fast, so that prospects
can retain some confidence as in starting.
Need to create better, differentiated detailed brochures for
advisors recruitment.
Increase advisors sales force quality as well as quantity by
employing some HR professional, who time to time take some
action for the improvement of insurance advisors.
More advertising strategies should be taken to grasp the
attention of those people who want to become insurance
advisors.
Make use of internet banking for increasing sales and also for
promotion.
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There should be more incentives to
insurance advisors they are the backbone of the company in
order to increase sales they have to do mare efforts than others.
Generate some innovative and alternative channels of distribution,
using the sources that can straight play with the emotion of the person
and influence so high that it forces the human being to go for
insurance and that to willingly. Recruit those individuals that really
want to take this job as a challenge.
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FIVE PERSISTENT CONCERNS:
As an ICICI Prudential Manager, you are fully committed to
building a high performing, growing agency. This being true, it
follows those five concerns must be constant in your annual
planning.
The SEARCH for talent
The EVALUTION of potential advisors
The ATTRACTION of advisors
The RETENTION of advisors
The PRODUCTIVITY of advisors
Any manager who attains satisfying results in these five areas will
enjoy
Satisfying sales results
Outstanding persistency of business
Superior policy owner service capabilities
An enviable reputation as a ICICI Prudential agency builder
A momentum which comes from the synergistic benefit of
success
OBVIOUSLY, THE FIRST THREE CONCERNS SEARCHING,
EVALUATING AND ATTRACTING-ARE VITAL:
The other two concerns, the retention and productivity of advisor, must
e considered together. To attain success might be achieved in either
area without total or real benefits to the agency, the company or the
client. There is nothing short-term or temporary about the challenge
connected with these recruiting concerns. They are constant. They are
eternal.
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CHART SHOWING HOW TO GET POTENTIAL ADVISOR:
PUTTING IT SIMPLY IN A FLOW
SEARCH
Where to look for
ATTRACT
How to attract to life Insurance
EVALUATE