PROJECT REPORT

(SUBMITTED FOR THE DEGREE OF [Link] (HONS.) IN ACCOUNTING &

FINANCE UNDER THE UNIVERSITY OF CALCUTTA)

AREA OF THE STUDY

FINANCIAL SERVICES SECTOR

TITLE OF THE PROJECT

THE INSURANCE INDUSTRY IN INDIA

NAME:- KOUSTAV GANGULY

SEMESTER - VI
COLLEGE ROLL NO.:- 343
C.U. REGISTRATION NO.:- 122-1111-0100-22
C.U. ROLL NO.:- 221122-21-0089

SUPERVISED BY
NAME:- [Link] MAITI
DESIGNATION:- ASSISTANT PROFESSOR
NAME OF THE COLLEGE:- CITY COLLEGE OF COMMERCE AND BUSINESS
ADMINISTRATION

MONTH & YEAR OF SUBMISSION

MAY 2025

ACKNOWLEDGEMENT
 The success and final outcome of this project required a lot of guidance and assistance from many
people and I am extremely privileged to have got this all along the completion of my project. All that I
have done is only due to such supervision and assistance and I would not forget to thank them. I am
highly indebted to my supervisor, [Link] MAITI for his valuable suggestions. His motivation,
guidance, and commitment have been instrumental to my performance in all aspect. My thanks and
appreciation also goes to my parents in completing the project and people who have willingly helped
me out with their abilities. CCCBA

SIGNATURE

2
 ANNEXURE-I:-

SUPERVISOR’S CERTIFICATE

This is to certify that KOUSTAV GANGULY, a student of [Link] (HONS.) in ACCOUNTING &
FINANCE of CITY COLLEGE OF COMMERCE AND BUSINESS ADMINISTRATION under the
UNIVERSITY OF CALCUTTA has worked under my supervision and guidance for his Project Work and
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prepared a Project Report with the title THE INSURANCE INDUSTRY IN INDIA which he is
submitting, is his genuine and original work to the best of my knowledge.

PLACE:- KOLKATA

DATE:-

SIGNATURE

NAME:- [Link] MAITI

DESIGNATION- ASSISTANT PROFESSOR

NAME OF THE COLLEGE:- CITY COLLEGE OF COMMERCE AND BUSINESS

ADMINISTRATION

3
 ANNEXURE-II:-

STUDENT’S DECLARATION

I hereby declare that the Project Work with the title THE INSURANCE INDUTRY IN INDIA submitted
by me for the partial fulfilment of the degree of [Link] (HONS.) in ACCOUNTING & FINANCE of
CITY COLLEGE OF COMMERCE AND BUSINESS ADMINISTRATION under the UNIVERSITY OF
CALCUTTA is my original work and has not been submitted earlier to any other University for the
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fulfilment of the requirement for any course of study.

I also declare that no chapter of this manuscript in whole or in part has been incorporated in this report
from any earlier work done by others or by me. However, extracts of any literature which has been used for
this report has been duly acknowledged providing details of such literature in the references.

SIGNATURE

NAME- KOUSTAV GANGULY

ADDRESS- CB 10/9, DESHBANDHU NAGAR, BAGUIATI, KOLKATA- 700059

CU REGISTRATION NO.- 122-1111-0100-22

CU ROLL NO.- 221122-21-0089

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 Index

CHAPTERS TOPICS PAGE NO.

Acknowledgement 2
Supervisor’s Certificate 3
Student’s Declaration 4
CHAPTER – 1 Background 6-8
INTRODUCTION Literature Review 9
Objectives of the Study
10 - 11
Methodology of the Study
Source of Data
11
Chapterisation Plan
Limitation of Study 12
CHAPTER – 2 Concepts of Insurance,
CONCEPTUAL Company Profiles, Different
FRAMEWORK Terminologies and 13 - 30
National and International
Scenarios
CHAPTER – 3 Presentation of Data, and
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PRESENTATION AND Analysis and Findings

DATA ANALYSIS Use of Statistical Tools and
Interpretation 31 - 39
Findings

CHAPTER – 4 Conclusion 40
CONCLUSION AND Recommendations 41
RECOMMENDATIONS

Bibliography / References 42
Annexure : 43 - 44
Questionnaire

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 CHAPTER-1

Introduction

The Insurance industry in India has recorded as a significant growth. There are 24 Life Insurance and 28
non-life insurance companies, out of there 52 insurance companies, 45 are in the private sector. Indian
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Insurance industry is quite sizeable and attracts investment from leading insurance players from different
corners of the world. Currently it is estimated that the Indian insurance industry will need more than $8
worth of capital to improve its solvency standards and increase the penetration level. A rapidly growing
economy, rising level of incomes, and improving life expectancy rates are some of the reasons that will also
contribute to the growth of the sector and present a great opportunity for overseas companies.

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 1.1 BACKGROUND

Everyone is exposed to various risks. Future is very uncertain, but there is way to protect one’s family and
one’s children’s future safe. Life Insurance Company help us to ensure that our family’s future is not just
secure but also prosperous. Life Insurance will ensure that if anything happens to you, your loved ones will
be able to manage financially. This study enables the insurance companies to understand how consumers
perception differs from person to person. How consumers selects, organizes and interprets the service
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quality and the product quality of different Insurance policies, offered by various Insurance companies.

Insurance in India has its history dated back till 1818, when the oriental Life insurance company was started
by European in Kolkata to cater to the need of European community.

The oldest existing insurance company in India is National Insurance Company Ltd , which was
founded in 1906 and is doing business even today. Insurance Industry, earlier comprised of only two state
insurer. (1) Life Insurance Corporation of India. (2) General Insurance Corporation of India.

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In the recent years when the Government of India in 1999 opened up the insurance sector by
allowing private insurance companies to work in the market by depositing the 100 crore rupees in the reserve
of government and allowing FDI up to 26%. This has encouraged many overseas insurance companies,
having a required amount in their reserve, to open their branch in our country.

The IRDA opened the market in August 2000 with the application for registrations. Foreign companies were
allowed ownership of up to 26%. The authority has the power to frame regulations under section 114A of
the Insurance Act, 1938 and has from 2000 onwards framed various regulations ranging from registration of
companies for carrying on insurance business to protection of policy holders interest.
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In December 2000, the subsidiaries of the General Insurance Corporation of India were restructured as
independent companies and at the same time GIC was covered into a national re-insurer. Parliament passed a
bill de-linking the four subsidiaries from GIC in July 2002.

Today there are 28 general insurance companies including the ECGC and Agriculture Insurance
Corporation of India and 24 life insurance companies operating in the country.

The insurance sector is a colossal one and is growing a speedy rate of 15-20%. Together with banking
services, insurance services add about 7% to the country’s GDP. A well- developed and evolved insurance
sector is a boon for economic development as it provides long – term funds for infrastructure development at
the same strengthening the risk taking ability of the country.

8
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9
 1.2 LITERATURE REVIEW

While earlier studies on insurance sector mainly focused upon LIC, It was only after reforms in this sector
that certain studies covering private players have taken place. Among early studies, Arora (2002)
highlighted that LIC was likely to face tough competition from private insurers having large established
network and their trained intermediaries throughout the India, analyzed the various types of products
offered by public sector giant and the new global players in the private sector, opportunities and challenges
before the insurance industry in India due to liberalisation, globalization and privatisation. It is said that
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bancassurance provided the best opportunities to tap the large potential in rural and semi urban areas as
banks have a strong network of more than 40,000 branches in these areas. It is identified that private
insurance players introduced a wider range of insurance products and set up brand promotion as part of their
new strategy. These new covers had flexibility and added benefits to suit the needs of customers who were
unsatisfied with the traditional and rigid plans Kulshrestha and Kulshrestha (2006) highlighted that
demand for life insurance in rural India was expanding at the annual rate of 18 per cent as compared to 3.9
percent in urban areas which provided good opportunity for life insurance to perform.

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 1.3 Objective of the Study

• To explain the meaning of insurance.

• To understand the concept and mechanism of insurance.

• To know about the product of life insurance.

• To know the consumer response about Life [Link]

• To compare and analyze the financial performance of private Life Insurance companies and Life
Insurance Corporation of India.

• To discuss the historical background and the present state of insurance industry after
liberlization of insurance sector.

• To find out the customer satisfaction level among the go with their respecting insurance companies in
which they hold the policy.

• To offer suggestions based on findings.

• To eliminate the confusion in different assurance policies.

1.4 Scope of the Study

This study is limited to the consumers within the limit of Kolkata. The study will be able to reveal the
preference, needs, perception of the customers regarding the life insurance products, it also help the
insurance companies to know whether the existing products are really satisfying the customers needs.

1.5 Research Methodology

The scope of methodology is wider, the core concept underlying research is its methodology. The research
or study contents are primary and secondary data. The conclusion, covers the information collected from
different sources internet, journals , blogs and newspapers and belonging to various different people of age
groups, qualifications, occupation and income level.
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 1.6 SOURCE OF DATA

Primary Data

The primary are those which are collected afresh and for the first time, and thus happened to be original in
character. There are several methods of collecting primary data particularly in surveys.

For the study: Questionnaire method is used for collecting the data while conducting the research.

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Secondary Data

The secondary data are those which have already been collected by someone and which have already been
publish through the statistical process. Secondary data may either be published data or un-published data.

• For the study the secondary data was collected from the following sources.

• Books and Websites related to Insurance.

1.7 CHAPTERISATION PLAN

1. Introduction

This chapter covers introductions, reviews of literature, objectives of study, scope of the study,
research methodology and limitations of study.

2. Conceptual Framework

This chapter deals with the theoretical aspects of performance management system.

3. Profile of the Study:

This chapter deals with the insurance industry of India and company profile is State Bank of India Life

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Insurance Company Ltd.

4. Analysis and interpretation of data:

This chapter covers the analysis data collected through primary and secondary source to study the topic.

5. Major findings , suggestions and conclusion:

This chapter summarises and comprises of major findings. It also deals with suggestions and
conclusions.

1.8 Limitation of Study

This study which has been conducted has faced some limitations while been written are listed below :-

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1. Sample Size: A small sample size may limit the generalizability of the findings to a broader
population.

2. Research Duration: A short research period might not allow for long-term trends or changes to be
observed.

3. Data Accessibility: Difficulty accessing certain data sources may limit the scope of the study.

4. Methodological Choices: The choice of specific research methods can introduce biases or limit the
types of conclusions that can be drawn.

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 CHAPTER 2

CONCEPTUAL FRAMEWORK

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2.1 MEANING OF INSURANCE

Insurance may be described as a social device to reduce our eliminate risk of loss to life and property.
Insurance is a collective bearing of risk. Insurance spreads the risks and losses of few people among a large
number of people prefer small fixed liability instead of big uncertain and changing liability. Insurance is a
economic cooperation by which members of the community share the unavoidable risks.

Insurance can be define as a legal contract between two parties whereby one party called insurer undertakes
to pay a fixed amount of money on the happening of a particular event, which may be certain or uncertain.
The other party called insure or insurant pays in exchange a fixed sum known as premium. The insurer and
insurant are also known as Assurer or underwriter and Assistant, respectively. The document
which embodies are contract is called the policy.

2.2 DEFINITION
Insurance is nothing but a system of spreading the risk of one into the shoulders of many. It is a
method or process which distributes the burden of the lid on a number of people .Insurance is a contract in
which sum of money is paid to the assured in consideration of insurer’s incurring risk of paying a large sum

upon s given contingency.

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2.3 HISTORY OF INSURANCE
Insurance in India can be traced back to the Vedas. For instance, Yogakshema, the life insurance
corporation of India’s corporate headquarters, is derived from the Rig Veda. The term suggests that firm of
“community insurance” was prevalent around 1000 BC and practiced by the Aryans. Burial societies of the
kind found in ancients Rome were formed in the Bushfire period to help families build houses, protect
widows and children.

Bombay Mutual Assurance Society, the first Indian life assurance society, was formed in 1870. Other
companies like oriental, Bharat and Empire of India were also set up in the 1870-90s .it s during the
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Swadeshi movement in the early 20thcentury that insurance witness a big boom in India with several more
companies being set up.

As these companies grew, the government began to control on them. The Insurance Act was passed in
1912, followed by a detailed and amended Insurance Act of 1938 that looked into investments, expenditure
and management of these companies’ funds .By the mid-1950s there were around 170 insurance companies
and 80 provident fund societies in the country's life insurance scene. However, in the absence of regulatory
systems, scams and irregularities were almost a way of life at most of these companies.

As a result, the government decided nationalize the life assurance business in India. The Life Insurance
Corporation Of India was set up in 1956 to take over around 250 life companies. For years thereafter,
Insurance remained a monopoly of the public sector. It was only after seven years of deliberation and debate
– after the RN Malhotra Committee report of 1994 became the first serious document calling for the re-
opening up of the insurance sector to private players that the sector was finally opened up to private players
in 2001.

15
 2.4 TYPES OF INSURANCE

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* Life insurance
* General insurance

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2.4.0 Life Insurance Products

Life insurance is a contract for payment of money to the person assured (or to the person entitled to receive
the same) on the concurrence of an event insured against.
Usually the contract provides for—
Payment of an amount may be on the date of maturity or at specified periodic intervals or after death, if it
occurs earlier.
Periodical payment of insurance premium can be done by the assured to the corporation who provides the
insurance. CCCBA

2.4.1 General Insurance Products

[Link] Fire Insurance:

Fire Insurance is a comprehensive policy which covers liss on account of fire, earth quake, riots,flood ,
strikes , and malicious intent. It can be taken only by the owner of the promises to be insured.

[Link] Marine Insurance

It includes insurance of Marine Hull Insurance Inland Vessels, ocean going Vessels, Fishing and scaling
Vessels, freight at risk ,construction of ships, voyage insurance of various Vessels, ship breaking insurance,
oil and energy in respect of onshore and offshore risks, including construction risk.

[Link] Health Insurance

Health insurance is an insurance that covers the whole or a part of person incurring medical expenses,
spreading the risk over numerous person.

[Link]. Auto Insurance:

In auto insurance, the rates were revised ,upwards twice ,once in 1982 and then in1990 as the high cost of
repair coupled with the third party claims had adversely affect the insured loss ratio. Motor insurance is
mandatory leading to good amount of premium collection but it is not being fancied upon as it could lead to
litigation problem.

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2.5 TYPES OF LIFE INSURANCE
1. Term Insurance and Whole Life Insurance

2. Endowment policy

3. Money back plans or cash back plans

4. Children policies CCCBA

5. Unit Linked Insurance policy

 Term Insurance :
You can choose to have protection for a set period of time with Term Insurance. In the event of death
or total and permanent Disability if the benefit is offered, your dependants will be paid a benefit .In
Term Insurance, no benefit is normally payable if the life assured survives the term. This covers the

policy holder for the specific period i.e. 5,10,15 or 30 years.

 Whole Life Insurance:

With whole life insurance, you are guaranteed lifelong protection. Whole life insurance pays out of
death benefit so you can be assured that your family is protected against financial loss that can happen after
your death. It is also an ideal way of creating an estate for your heirs as an inheritance. It covers the policy

18
holder for long or 100 years whichever is earlier, with the limited premium paying them.

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  Endowment Policy:
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An endowment is saving Linked insurance policy with a specific maturity date, An unfortunate event by
way of death or disability occur to you during the period, the sum Assured will be paid to your beneficiaries.
On your surviving the term, the maturity proceeds on the policy become payable. This plan is suitable for
fulfilling all long and short term financial needs.

 Money back plans or cash back plans:

Under this plan, certain percent of the sum assured is returned to the insured person periodically as
survival benefit. On the expiry of the term, the balance amount is paid as maturity value. The life risk may
be covered for the full sum assured during the term of the policy irrespective of the survival benefit paid.

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 Children policies : These types of policies are taken on the life of the parent/children for the
benefit of the child. By such policy the parent can plan to get funds when the child attains various
stages in life. Some insure offer wavier of premium in case of unfortunate death of the
parent/proposer during the term of policy.

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 Unit Linked Insurance Policy:

Unit Linked Insurance policies (ULIPs) offer a combination of investment and protection and allow you
the flexibility and choice on how you premiums are invested. IN UNIT LINKED PLANS, THE
INVESTMENT RISK PORTFOLIO IS BORNE BY YOU AS YOU ARE THE INVESTOR. Typically the
policy will provide you with a choice of funds in which you may invest. You also have the flexibility to
switch between different funds during the life of the policy. In the event of death and permanent disability,
the policy will provide the sum Assured (to the extent you are covered) so that you can take comfort in
knowing that your family is protected from sudden financial loss. A ULIP has varying degrees of risk and
rewards. There are various charges applicable for Unit Linked Policies and the band amount of the premium
is only invested in the fund/funds chosen by you. It is important to ask your insurer out agent or broker
question to understand the sum total of charges that you have to incur. It is important to access your risk
appetite and investment horizon before deciding to buy a ULIP policy. You must also read the terms and
condition of the policy carefully to understand the feature of the policy including the lock-in period,
surrender value, surrender charges etc. All type of table mentioned above can be offered under ULIP plans.

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 2.6 National and International Scenario

In both the national and international level life insurance business strongly develops the financial sector.
While the world is observing India for growth and expansion. Indian insurance market is the 19 th largest
globally and ranks 5th in Asia. But the life Insurance market in India is an underdeveloped market that was
only trapped by the state owned LIC till the entry of private insurer. The penetrations of life insurance
product was 19 percent of total 400 million of the insurable population. With the entry of the private insurers
the rules of the game have changed. The 12 private insurers in the life insurance market have already
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grabbed nearly 9.88 percent of total market in terms of premium income.

LIC is one of the biggest insurance companies in India. It had set its right on becoming a major global
insurer following a RS 280 crores investment from the Indian government. Since the nationalisation, LIC
had built up a vast network of 2048 beaches, 100 divisional and 7 zonal officers spread over the country.

Individual agents are the major source for getting me business in life insurance industry .It is evident from
the fact that LIC and private life insurers got 88.66 percent and 66.3 percent of their total new business
respectively through the individual agents during the year [Link] the entry of private insurers in life
insurance business, it is obvious that some proportion of new business will go in the hands of private life
insurers. An attempt, therefore , had been made to study the growth of new business in term of police's and
premium income of Indian life insurance industry. Further, the share of private insurers and LIC in
total.

business has also been studied. The total new business policies of life insurance industry increased From
253.71 lac in 2002-03 to 353.74 lac in 2010-11, registering a growth rate of 16.1 percent during the
period of study .Similarly, total new business premium of life insurance industry increased from Rs.9707.45
crore in 2000-01 to Rs.92988.71 crore in 2007-08, which showed a growth rate of 35.1%.

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 Life Insurance Companies in India
Following is the list of insurance companies in India which have been approved by the Insurance and
Regulatory and Development Authority of India (IRDAI).

• Life Insurance Corporation of India

• HDFC Life Insurance Company Ltd.

• Max Insurance Company Ltd. CCCBA

• ICICI Prudential Life Insurance Company Ltd.

• Aditya Burks Sun Life Insurance Company Ltd.

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 2.7 Profile of the Company

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Life Insurance Corporation of India (LIC) is infusing Rs 200.04 crore into Chennai-based Indian Overseas
Bank (IOB) by increasing its stakes to 14.50% from 10.21%, set the loss making public sector bank in
feeling with BSE

The bank which saw Q3 losses widened to rupees 1.425 crore as it set asides money to cover bad loans has
called for share holders' to get the approval for the preferential issue to LIC at Rs 23.18 a share. In a note to
shareholders, the bank said that there is a pressing need to increase its capital to meet regulatory norms.

At the request of IOB ,LIC will buy about 8.62 crore equity share of the troubled bank on a preferential basis for
RS 200.04 crore, bringing down the Indian government’s stake to 77.32%from 81.19%and stake of public
shareholders marginally to 8.18% from 8.60%. The bank which saw Q3 gross NPAs at an uncomfortable
12.64% has been pulled by Reserve Bank of India (RBI) fit failure to check bad loans. The bank was

directed to put in place in more stringent credit quality check and not payouts dividend out enter new lines
of business till it's assets quality improved.

Following with IOB increased its Q3 provisions for loans losses by 60% to Rs1,896.06 crore year over year

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 CCCBA

SOURCE- TIMES OF INDIA WEB EDITION FROM [Link]

25
 LIC zonal office, at Connaught place, New Delhi designed by Charlie Correa.

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LIC Building at Chennai- was the tallest building in India when it was inaugurated in 1959.

LIC holds shares worth about RS 2.33 lakh crores in all the Nifty companies put together , buy it lowered it's
holding in total of 27 Nifty companies during the quarter.

The cumulative value of LIC holding in this 27 companies fell by little over RS 8000 crore during the
quarter shows the analysis of changes in their shareholding patterns.

Individually, LIC is the estimated to have sold share with Rs500-1000 crore in each of Mahindra &
Mahindra, HDFC bank ,ICICI bank , Tata Motors ,L&T, HDFC ,Wipro, SBI ,Maruti Suzuki, Dr Reddys
and Bajaj Auto.

The insurance behemoth also trimmed holding in Ambuja Cements, Cipla, TCS, Lupin and Asians paints. A
marginal expunge was also witnessed in its stakes in companies such as IDFC.

Vision
“To be the preferred life insurers of the people of India by providing innovative life insurance products
and world class services at affordable rates”.

Mission
“Explore and enhance the quality of life of the people through financial security by providing products and
service of aspired attribute with competitive returns and by renders resources for economic development”.

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 List of some life insurance company in India

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SOURCE- [Link]

• Birla Sun Life Insurance Company

Birla Sun Life Insurance Company limited (BSLI) is a joint venture between Aditya Birla group a
week known India conglomerate and Sun Life Financial Inc one of the leading international financial
service organisation from Canada. With an experience of over a decade, BSLI has contributed to the
growth and development of India Life Insurance industry and currently is one the leading Life
insurance company in the country.

• Foreign partner

Sun Life Financial is a leading international financial service organisation providing a diverge range
of protection and wealth accumulation product and service to individual and corporate customers.
Sun Life Financial and it partner to have key operation in worldwide including Canada, the united
states, united kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China,
Australia, Singapore, Vietnam, Malaysia and Bermuda. As of June 13, 2013 The Sun Life Financial
group of companies has total assets under the management of $591 billion. Sun Life Financial Inc
taxes on the Toronto(TSX), New York(NSYE) and Philippines (PSE) stock exchange under the
under the striker symbol of (SLF).

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 CCCBA

SOURCE- [Link]

 HDFC- Standard Life

HDFC Standard Life Insurance Company is a joint venture between India's largest housing finance provider
and Europe largest Mutual Life Assurance company-The Standard Life Assurance company. HDFC
Standard Life Insurance Company Limited is the first private sectors life insurance company to be granted
licence.

HDFC life continue to have one of the widest reaches among new insurance companies with about 500
branches in India touching customers in above 900 cities and towns. The company has also established a
liaison office in Dubai. HDFC has strong life presence in existing markets with a strong base of Financial
Consultants.

Foreign Partner
Established in 1825 Standard Life Plc is a leading provider of a long term saving and investment to around
six million customers worldwide. Headquarters in Edinburgh Standard Life Plc has around 8,500 employees
internationally.

The Standard Life Plc group including saving and investment business, which operate across the UK,
Canada, Europe, Asia and Middle East. Workplace pension and benefits business in UK and Canada.
Standard Life Investment, a global investment manager which manages over £179bn globally, and it's
Chinese and India joint venture business. At the end of September 2013 the Group had total assets under the
administration of over £237 bn . It is one of the very few insurance company in world to ‘AAA' rating from
two of the leading international credits rating agencies.

Standard Life Plc is listed on the London Stock Exchange and has approximately 1.5 million individual

28
shareholders in over 50 countries around the world. It is also listed in the Dow Jones Sustainability world
index, ranking it's among the top 10% of sustainable companies in the world.

SOURCE- [Link]
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 Kotak Mahindra Life Insurance

Kotak Mahindra Old Life Insurance Ltd is a 74:26 joint venture between Kotak Mahindra Bank Ltd, it
affiliates an Old Mutual Plc. The company started operation in 2001, and strives to offer it customer
value through high customer empathy, consistent and benchmarked service and suit of products that
leverage the combined process of protection and long term saving. The company cover over 4 million
lives and one of the fastest growing insurance company in India.

Foreign Partner
Old Mutual provide life assurance, asset management, banking and general insurance to more than 14
billion customers in Africa, the Americas, Asus and Europe. Originating in South Africa in 1845 Old
Mutual has been listed on the London and Johannesburg Stock exchange, among others since 1999. In
the year ended 31 December 2012, the Group reported adjusted profit before tax of £1.6 billion (on an
IFRS) basis and £262 billions of fund under management from core operation.

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 CCCBA

SOURCE- [Link]

 Allianz Bajaj Life Insurance Company

Bajaj Allianz is a joint venture between Bajaj Finserv Limited and Alliance SE. Both enjoy a
reputation of expertise, stability and strength. This joint venture company incorporate global
expertise with local experience. Bajaj Auto, one of the biggest two and three wheelers manufacture

in world. The comprehensive, innovative solution combined. The technical expertise and
experience of Alliance SE, and in-depth market knowledge and goodwill of “Bajaj“ brand in India.

Foreign partner

It is one of the world leading insurer and financial service provider. Founded in 1890 in Berlin,
Allianz in note present over 70 countries with almost 174,000 employees. At the top ab International
Group is the holding company, Allianz AG, with it has office in Munich. Allianz group provide it
more than 60 millions customers.

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 CCCBA

SOURCE- [Link]

 Tata AIA life insurance Company Limited

Tata AIA Life Insurance Company Limited (Tata AIA life) is a joint venture Company, formed by
Tata sons and AIA Limited (AIA). Tata AIA Life combines Tata's preeminent leadership position in
India and AIA's presence as the largest, independent listed pan-Asia life insurance group in the world
spanning 17 markets in Asia pacific. Tata sons hold a majority stake (74%). In the company and AIA
hold % through an AIA Group Company. Tata AIA life Insurance Company.

Foreign partner

AIA group limited and it's subsidiary’s comprises the largest independent publicly listed pan-Asia
life insurance group. It has operation in 17 markets in Asia pacific-wholly owned branch and
subsidiary’s in Hong Kong, Thailand, Singapore, Malaysia, China, Korea, the Philippines, Australia,
Indonesia, Taiwan, Vietnam, New Zealand, Macau, Brunei, a 97% subsidiary in Sri Lanka, a 26%
joint venture in India And a representative office in Myanmar. It has total assets of $147 billions as
of 31 May 2013.

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 CHAPTER – 3

Analysis and finding

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TABLE 3.1 : AGE GROUP OF RESPONDENTS

Interpretation
From the graph it if clear that, out of 123 respondents, 16 respondents fall in the Age group of (below 18),
33 respondents fall in the Age group of (18 to 35), 55 respondents fall in the Age group of (36 to 50) and 19
respondents fall in the Age group of (50 and above). Thus shown that the interest in investing insurance is
more for people aged between age group of 35-50 years.

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 Table 3.2 Education Knowledge of Respondents

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Interpretation
From the above table it is clear that it off 123 respondents, majority (i.e 107) respondents are educated
and only 13% respondents are uneducated.

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Interpretation
From the above table it is clear that it off 123 respondents, majority (i.e 52) respondents are belong to Under
Graduate which show under graduate at more interested in investing in life insurance, 31 respondents are
belong to graduate, 21 respondents are belong to post graduate and 19 respondents belong to other
categories, like professional course. Thus, show their less interest in insurance investment. Based on the
occupation level, respondents were able to choose the suitable life insurance products.

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34
Interpretation
From the above it has been observed that, 20 out of 123 respondents are belong to agriculture, 20
respondents are govt employees, 45 respondents are belong to private employees are more interested in
taking life insurance policy, 21 respondents belong to businessman, 17 are belong to other categories like
students.

Table 3.5 Income Group of Respondents

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35
Interpretation
The income level of the family of the respondents influence the choice of respondents products. From the
graph it has been observed that, out of 123 respondents, 36 respondents have the income between (100000 to
300000) which show more interest in investing in life insurance, 32 respondents have the income between
(300000 to 500000) which show they give moderate preference to life insurance investment, 29 respondents
have the income (less than 100000),21 respondents have the income between (500000& above) and 05
respondents not earning any income. Thus show they give less preference to life insurance investments.

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Table 3.6 The respondents investment as percentage of annually

Interpretation

From the above graph it has been observed that, 22 out of 123 invest below 10 percent of their saving, 58
respondents are invest 10-20%, 18 respondents are invest 20 to 30, 25 respondents are invest above 30
percent of their saving.

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Table 3.7 The kind of investment preferred by respondents

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Interpretation
From the above table, 27 out of 123 respondents are preferred short time investment, 65 respondents are
preferred long term investment, 31 respondents are preferred both your of investment

Table 3.8 The factor influence for choosing SBI life insurance

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Interpretation
From the table, out of 123 respondents, 41 respondents are chosen SBI life insurance because of high return,
31 are chosen because of security and investment, 28 respondents are chosen because of reputation of the
company, 12 respondents are chosen because of good service, and 11 respondent are chosen because of
others, like product quality, growth of investment. So that most of the respondents are look for high return
while investing in State Bank of India Life Insurance.

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Table 3.9 How the respondents know about the SBI life insurance

Interpretation
Most of the respondents (i.e 79) come to know about SBI Life Insurance from family and friends. 10
respondents China to know about SBI Life Insurance from periodicals, 06 respondents come to know
about SBI Life Insurance from financial consultants.

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 Table 3.10 Respondents purpose for buying insurance policy

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Interpretation
Most of the people (i.e 46) by insurance policy for their family needs because they want to save money fit
their family needs and only 15%people buy insurance for opposite circumstances

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 CHAPTER -4
CONCLUSION AND RECOMMENDATIONS

4.1 Conclusion:
Future is always uncertain and full of risk. We don't know what is going to be happen tomorrow. Therefore a
man is always worried about security of life. Life insurance is a means of meeting out kids caused by future
risks and uncertainties. Family welfare is the main factor, which investor think while investing in any life
insurance company. But others factor such as returns, security and tags benefits are also varying almost
same preference. People used to buy Insurance for tax exemption but time has changed now, people
understand the need of life insurance in their lives and people are talking initiatives to buy it. Company need
to introduce new products that provide wide covers and meet the needs of customers .

Thus study enabled us to understand how consumer’s perceptions about life Insurance if differs from person
to person and also held to know how the consumer selected organise and interprets the service quality and
product quality of different Life Insurance Policy offered by the company.

State Bank of India Life Insurance has set all the strategies and mission after proper vision and it's achieving
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the largest by working in co-operative and co- ordinate manner and giving the people full services and
facilities and making easy. SBI group operates around India with the intension of providing financial
assistance to the people of India Life bank, insurance service that lead to improve standards of living of
people and also improve the economy of nation.

The conclusion of this project report is that the policies of state Bank of India Life insurance are very good
and you to mark on the basis of consumers perception are providing good returns and investment security
against the investors money.

4.2 Recommendations.
 Life insurance products are taken mainly by middle and higher income group. Hence they should be
regarded as main targeted income groups. Life insurance products which are suitable for lower
income group should also be realised so that market share increase.
 Due to intense competition in life insurance market the SBI life insurance company had to adopt
better strategies to attract more customers.

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 As the competition is increasing company should use the new emerging method for collection of
premium to get the competitive advantage on other.
 Return on investment, company reputation and premium outflow are most preferred attribute that are
expected by the respondents hence greater focus should be given to these attributes.
 Most of the person doesn't know about the full knowledge about insurance policy company so
company should provide complete knowledge about insurance policy to the customers.
 Whenever company launches a new products company can conduct some function for existing
policyholders who insure direct interaction with existing customers and create the policy holder club
that give sense of belongingness.

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 Bibliography

Websites
 [Link] [Visited on 25/4/25 at 8:00 pm]
 [Link] [Visited on 26/4/25 at 9:00 am]
 [Link] [Visited on 28/4/25 at 10:00 pm]

Newspaper
 The Telegraph
 Sanmarg Patrika
 The Times of India

Books

 Commentary on the IRDA Act by Hassan Ali.

 Principles of Insurance Law by Srinivasan. CCCBA

 The Insurance Industry in India by TK Parida.

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ANNEXURE-II:-

Personal details

Name: . Address.
.
Gender. Male [ ]. Female [ ] Mobile
number. .
Email. .

Q.1 Are you currently covered any LIC investment policy ?

a) Yes

b) No

Q.2What is your major reason for opting LIC investment?

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a) Insurance

b) Investment

Q.3 Are you currently undergoing under any medical treatment or ill?

a) Yes

b) No

Q.4 Are you satisfied with your insurance policy?

a) Yes
b) No

Q.5 Are you looking for a better LIC policy?

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 a) Yes
b) No

Q.6 Your Occupation?

a) Service.

b) Business.

C) Retired

d) Others.

Q.7 Your income?

a)10000-15000
b)15001-25000
C) above 25000

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Q.8 What do you feel after investing in LIC?

a) Good

b) Adversely satisfied with insurance decision

c) Cheated

Q.9 Do you invest in insurance plans because of tax benefits?

a) Yes

b) No

Q.10 Does the insurance agent /Marketing Executive recommends for life insurance?

a) Yes
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b) No

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