1

Marathwada Shikshan Prasarak Mandals

Deogiri Institute of Engineering and Management Studies, Aurangabad

A Summer Training Project Report On

MAX LIFE INSURANCE company ltd

Submitted by

Mr.Ishwar D. Rajput
Roll no.MM-65
MBA III semester Batch 2011-2013 In partial fulfilment of the completion of the course of MASTER OF BUSINESS ADMINISTRATION Of Dr.Babasaheb Ambedkar Marathwada University, Aurangabad

Marathwada Shikshan Prasarak Mandals

Deogiri Institute of Engineering and Management Studies, Aurangabad

A Summer Training Project Report On

MAX LIFE INSURANCE compant ltd.

Submitted by

Mr.Ishwar D. Rajput
Roll no.MM-65
MBA III semester Batch 2011-2013 In partial fulfilment of the completion of the course of MASTER OF BUSINESS ADMINISTRATION Of Dr.Babasaheb Ambedkar Marathwada University, Aurangabad

Prof. Rupesh Rebba Project guide

Prof. Vaishali Raodev HOD

Dr.Ulhas Shiurkar Director

Acknowledgement
I, Ishwar D Rajput thanks to my project guide Deepak Turorikar of Max life insurance copany Ltd. His expertise was invaluable during each step of the project from narrowing the scope of the research to theoretical development and analysis. I also thank Prof. Rupesh rebba (Guide), Prof. Vaishali Raodeo (H.O.D) and Dr. Ulhas Shiurkar (Director), Deogiri Institute of Engineering and Management Studies, Aurangabad for encouraging and guiding me through the training project.

Mr. Ishwar d. Rajput

Roll no. MM-65
MBA III semester Batch 2011-2013

Certificate

This is to certify that, Ishwar D Rajput, is a student of Deogiri Institute of Management Studies, Aurangabad Batch 2011-2013 have duly completed the Summer training Project (CP- 304) Titled Max life insurance copany Ltd and had submitted satisfactory report to Dr. Babasaheb Am.0bedkar Marathwada University, Aurangabad in partial fulfilment of Master of Business Administration course 2011-2013. We wish him all the best for future Endeavour.

Prof. Vaishali Raodev Project guide

Prof. Vaishali Raodev HOD

Dr.Ulhas Shiurkar Director

Declaration

I hereby declare that I have formed, completed and written the Summer Training Project entitled Max Life Insurance company Ltd. It has not been previously submitted for the basis of the award of any degree or other similar title for any other university.

Table contents

Sr. No.

Particulars

Page No.

1 2 3 4 5

Executive summary Objective & Scope of the project Introduction Company profile vision mission of the company Products

6 6 7 8 9

Achievement & award Data analysis Study of various department S.w.o.t analysis Finding Conclusion Bibliography

executive summary

In todays corporate and competitive world, I find that insurance sector has the maximum growth and potential as compared to the other sectors. Insurance has the maximum growth rate of 70-80% while as FMCG sector has maximum 12-15% of growth rate. This growth potential attracts me to enter in this sector and MAX NEW Y O R K L i f e I n s u r a n c e C o m p a n y L t d has given me the opportunity to work and get experience in highly competitive and enhancing sector. The success story of good market share of different market organizations depends upon the availability of the product and services near to the customer, which can be distributed through a distribution channel. In Insurance sector, distribution channel includes only agents or agency holders of the company. If a company like RELIANCE L I F E INSURANCE, TATA AIG, HDFC etc. have adequate agents in the market they can capture big market as compared to the other companies Agents are the only way for a company of Insurance sector through which policies and benefits of the company can be explained to the customer.

Project objective
Management as a profession cant be taught merely in the four walls of classrooms. Only theoretical knowledge is not sufficient to build competitive managers. Practical knowledge of the business environment is equally important. In today business world, insurance sector is running towards its booming stage. This industry still has many things to come up to, so many changes and opportunities will be given by insurance industry. So I choose insurance industry for my internship training. The main objective of the internship training was-: To gain insurance knowledge of this insurance industry. To generate an awareness among the customers for Max New York Life insurance Connections. To contact 10 people daily generate lead through them and convince them to purchase the company product and make the adviser of company. Calling the customers and taking appointment from them to enhance our communication skills. To enhance our selling skills and to get real practical exposure of the outside world. To acquire social skills by being in constant interaction with the professionals of the organization, other corporate and customers.

Introduction

The training has been divided into two parts one is sales & other is recruitment of relationship managers. The training focused totally on sales maximization where I helped company to maximize not only its sales but to rectify other problems like services and competition of other companies .This training helps to impart on job experience, under this training we resorted to cold calling, interview, handling quarrels of the customers and getting appointments and then going to the requested places to help them identify the need of particular services and pursue them to fulfill that need. This helps to handle the objections of customers and also taking the interview for the recruitment of relationship managers for building the team of sales.

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Introduction to the industry

Life Insurance In 1818 the British established the first insurance company in India in Calcutta, the Oriental Life Insurance Company. First attempts at regulation of the industry were made with the introduction of the Indian Life Assurance Companies Act in1912. A number of amendments to this Act were made until the Insurance Act was drawn up in 1938. Noteworthy features in the Act were the power given to the Government to collect statistical information about the insured and the high level of protection the Act gave to the public through regulation and control. When the Act was changed in 1950, this meant far reaching changes in the industry. The extra requirements included a statutory requirement of a certain level of equity capital, a ceiling on share holdings in such companies to prevent dominant control (to protect the public from any adversarial policies from one single party), stricter control on investments and, generally, much tighter control. In 1956, the market contained 154 Indian and 16 foreign life insurance companies. Business wash easily concentrated in urban areas and targeted the higher echelons of society.Unethical practices adopted by some of the players against the interests of the consumers then led the Indian government to nationalize the industry. I n September 1956, nationalization was completed, merging all these companies in to the so-called Life Insurance Corporation (LIC). It was felt that nationalization has lent the industry fairness, solidity, growth and reach.

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Some of the important milestones in the life insurance business in India are: 1912: The Indian Life Assurance Companies Act enacted as the first statute to regulate the life insurance business.

1928: The Indian Insurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance businesses.

1938: Earlier legislation consolidated and amended to by the Insurance Act with the objective of protecting the interests of the insuring public.

1956: The market contained 154 Indian and 16 foreign life insurance companies 1957: General Insurance Council, a wing of the Insurance Association of India frames a code of conduct for ensuring fair conduct and sound business practices. 1968: T h e I n s u r a n c e A c t a me n d e d t o r e g u l a t e i n v e s t me n t s a n d s e t mi n i mu m solvency margins and the Tariff Advisory Committee set up.

1972: The General Insurance Business (Nationalization) Act, 1972 nationalize the general insurance business in India with effect from 1st January 1973. 107insurers

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amalgamated and grouped into four companys visa .the National Insurance Company Ltd., the New India Assurance Company Ltd., the Oriental Insurance Company Ltd. and the United India Insurance Company Ltd. GIC incorporated as a company.

2. Max New York life insurance co. Ltd. Max New York Life Insurance Company Limited is a joint venture that brings together two large forces - Max India Limited, a multi-business corporate, together with New York Life International, a global expert in life insurance. With their various Products and Riders, there are more than 400 product combinations to choose from. They have a national presence with a network of 57 offices in 37cities across India.

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Marketing of Insurance
Insurance is in a manner of speaking the last frontier in the financial sector too pen. It is also a sector, which leads to benefits across the full spectrum, from the individual who now have wider choices, to the economy, which see increased savings, to the infrastructure sector, which can look forward to long term funding being available. In an under-insured economy, newer channels of distribution have to be utilized to intensify the reach of insurance both in urban and rural markets. This will create huge employment opportunities not only within insurance companies but also as agents and consultants of insurance companies.

Marketing Mix Policies Different companies can choose to position themselves differently and hence the Marketing Mix is different. However, there are certain common characteristics that one can cull out from the possible strategies that companies adopt.

Product:

The development of flexible products to suit individual requirements is what will differentiate the winners from the also-rans. The key to success is in providing insurance solutions, not standardized insurance products. The concept of riders/optional benefits has already been a huge innovation brought about by the new players, which has led to customization of products for individual needs.

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However, companies may differentiate themselves on the basis of product segments that they choose to focus on and excel in. Place:

Different companies may however choose different channels and different geographies to focus on. The channel options are - tied agency force, corporate agents and brokers and this is an area where different companies will make different choices. Many companies like Max New York Life are focusing on all channels whereas companies like HDFC STANDARD Life are focusing on the tied agency force only. Customer interface will be a key challenge for life insurance companies and includes every that interaction that the customer has with the company, such as sales, new business underwriting, policy servicing, premium payments, claim processing and so on. Technology can play a crucial role in delivering the highest standards of service set by the company and it will be imperative for any serious player to excel in all of these.

Price: Price is a relevant differentiator only in two segments - pure term insurance and in pure annuities. Here too, service delivery and financial strength will need to be present at a minimum acceptable level for price to be a relevant differentiator. In case of savings oriented products, long-term returns generated are more relevant than just the price of the product. A focus on generating good investment performance and keeping a tight control on costs help in generating good long-term maturity value for customers. Norms have been laid down on all of these by IRDA and adhering to these while delivering good returns will be a challenge.

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Promotion and Advertising: The level of demand is latent and will have to be activated considerably. The market needs to be developed. Greater awareness of insurance and the need to have it as a protection tool rather than as a tax planning measure needs to be appreciated by the Indian people. Various communication tools including advertising, direct marketing and road shows contribute to all this and different companies take different approaches on these. Process:
Cashless settlement:

One of the most defining and customer-friendly changes that weve seen in recent years relates to the way claims settlements are made. The advent of the thirdparty administrator (TPA) regime has facilitated the transition to the hugely convenient era of cashless settlement of health and auto insurance claims. TPAs are entities who process claims on behalf of insurers: the IRDA licenses them after it is satisfied that they have the financial strength, the trained manpower, the infrastructure and the skills to undertake this activity. Likewise, with auto insurance, the TPA ties up with garages and authorized service centers for cashless settlement of auto insurance claims.
Lower premiums:

The spirit of competition and the broadening of the risk experience of insurance companies have contributed to a fall in premiums over the years. Thats because, other things being equal, an insurer who covers the lives just of 10 people bears a higher risk than an insurer who covers the lives of, say,100 people. Further, a broader base will provide greater efficiencies on costs such as

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distribution, management and claims. A broad basing of the mortality experience, therefore, gives insurers the elbowroom to compete by lowering premiums, and that trend is expected to continue.

Physical Evidence: This can play a significant role for marketing in the Indian scenario. Since Internet users are comparatively lesser than countries such as US, the offline mode will be preferred in India. Although the distribution model is largely agent-based, wherever the customer is in contact with the company, this factor can play a significant role in luring the customer.

People: The most important factor that materializes sales and maintains

customer relationships on a long-term basis is this factor. No matter what distribution strategy a company adopts, customer relationship has to be taken care of in order to maintain the customer base on a long-term basis.

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Positioning:In order to achieve superior brand positioning, any marketer has to address three basic questions, which are: Who is the target group; what is the value proposition to them; Is the communication effective or not. Positive answers to the above questions indicate that the companys brand positioning is successful and that the customers are receptive 2 the product.

The target groups for MNYL 1. People in the age group of 30 45 years 2. People in the age group 20 50 years 3. People in the age group 18 70 years 4. Health conscious people 5. Large families 6. Rural and semi urban masses

Value propositions to the target groups (in the same order followed for target groups) On the basis of age demographics several children plans were there to target the segment of people who lie within 30-45 years of age and for

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the education of their children. This target groups also includes married couples who are interested in securing the future of their children. Children's Endowment to 18 (Par) Plan, which provides an option to buy a permanent life insurance policy without medical underwriting. With the Stepping Stones (Par) Plan, the customers are entitled to make withdrawals for any planned expenses. Various plans like 20 year endowment plan, whole life participating planet. And various life plans have been designed exclusively for this target group. For this target group, pension plans have been designed to facilitate the customers to derive benefits post retirement. Various plans like Life maker premium plan, Life line sa fety net etc. have been designed to help customers derive benefits through health insurance policies. MNYL's Five Year Renewable and Convertible Term Insurance (Non Participating) is particularly useful as a short -term protection plan.

An important feature of this policy is that it allows the insured to convert the policy to a regular policy during the tenure of the policy. M N Y L h a s a d o p t e d a n a l l persuasive brand positioning. Th e n e w t e l e v i s i o n commercial (TVC) highlights the fact that today it is a general human tendency to desire and aim for more as against the old mind set of being content with whatever o n e h a s . Th e p r e s e n t t r e n d i s t o d r e a m b i g g e r a n d a

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b r a n d s h o u l d p a r t n e r t h a t dream. MYNL believes that it is the age of consumerism and hence they its better to partner with their customers in their ambitions. The creative strategy captures that spirit. Through the TV commercial they have tried to highlight basic human tendency of 'Desire for More'.

In addition to the TVC, MNYL have gone for the whole nine yards in terms of its marketing activities. As a part of its online promotions, MNYL has designed a game in the form of question and answer to not just engage better with the customers but also add to its database. The company had also advertised on Websites. The company had promoted itself through malls, the Delhi Metro, traffic police stands, Mumbai railway stations and television programs such Big Boss, and Zee TVs Sa Re Ga Ma and also targeted the news channels.

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Nearly, 60 per cent of the marketing budget was spent on mass media and the rest 40 per cent on below-the-line (BTL) activities .

Media mix
MNYL had shifted its strategy from being a lot on 9 pm English news channels to mainstream popular family programmers. They have done a lot of digital advertising as well. They have concentrated on TV by choice as part of their strategy.

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INTRODUCTION TO THE COMPANY India bulls is channel partner of Max New York life in insurance vertical India bulls India bulls Financial Services Limited was incorporated on January 10, 2000 as/s Orbits InfoTech Private Limited at New Delhi under the Companies Act, 1956with Registration No. 55 - 103183. The name of Company was changed to M/s.Indiabulls Financial Services Private Limited on March 16, 2001 due to change in the main objects of the Company from InfoTech business to Investment &Financial Services business. It became a Public Limited Company on February 27, 2004 and the name of Company was changed to M/s. India bulls Financial Services Limited. And now this company has achieved milestone by voted as. The Youngest Company of the year in ET500Indiabulls Financial Services Ltd is a public company and listed on the National Stock Exchange, Bombay Stock Exchange, Luxembourg Stock Exchange and London Stock Exchange. The market capitalization of India bulls is approx. US $800 million, and the consolidated net worth of the company is approx US $ 400million. India bulls and its group

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companies have attracted US $ 300 million of equity capital in Foreign Direct Investment (FDI) since March 2000.Indiabulls ranks at 82nd position in the list of Most valuable companies in India .India bulls is promoted by three engineers from the Indian Institute of Technology(IIT) Delhi. Foreign Institutional Investors (FIIs) and foreign funds hold over 60 percent shareholding of India bulls. Some of the large shareholders of Indiabulls are the largest financial institutions of the world such as Fidelity Funds, Capital International, Goldman Sachs, Merrill Lynch, Lloyd George and Farallon Capital. There are approximately over 40,000 shareholders of the company. Indiabulls Financial Services is a retail financial services company providing adverse array of financial products and services, through its nationwide network of over 300 Indiabulls offices, and services over 2,50,000 clients spread across 110cities in India. Indiabulls, along with its subsidiary companies, offer consumer loans, brokerage and depository services, personal loans, home loans and other financial products and services to the retail markets.Indiabulls, which has a workforce of over 20,000 full time employees, reported US $ 60 million in Profit Before Tax and US $ 45 million in Net Profit for the first nine months of the current financial year. Philosophy: Indiabulls has created a unique organization that is designed for you the Smart Investor .it passionately believe in the Smart Investor who wants to make his own educated investment choices and demands world class access to a full range of services and products ranging from Equities to Insurance, combined with the highest level of integrity, service and professionalism. India bulls is a full service investment firm offering clients access to a tremendous range of financial services

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from 135 locations across 95 cities. We have a strong team of over 1000 Client Relationship Managers focused on serving customers unique needs. Our world class infrastructure, built with tens of crores of investment, provides our clients with real-time service, multi-channel & 24/7access to all information and products. As we've expanded and developed to serve the needs of all kinds of investors, we've been guided by one underlying philosophy: You come first. We are proud to introduce to you Indiabulls Professional Network TM That offers real-time prices, equity analysis, detailed data and news, intelligent analytics, and electronic trading capabilities, right at your finger-tips. This powerful technology is complemented by our knowledgeable and customer focused Relationship Managers who are available to help with your financial planning and investment needs. About Founders The fast paced growth, diversification and consolidation of the Group has been possible due to the vision and leadership of the co -founders of India bulls. Samper Gehlaut is the Chairman, CEO and Whole Time Director of Indiabulls.Sameer is an engineer from IIT, Delhi (1995) and has worked internationally with Halliburton in its international services business in 1995.He has utilized his experience with the international best practices and professional work culture at Halliburton to lead India bulls successfully. Rajiv Rattans the President, CFO and Whole Time Director of India bulls. Rajiv is an engineer from IIT, Delhi (1994) and has rich experience in the oil industry, having worked extensively across the globe in highly responsible assignments with. Rajiv has managed remote exploration projects providing evaluation services for different clients in India as well as abroad. Saurabh Mittal is a

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Director at India bulls. Declared the best graduating student in IIT, Delhi in (1995), Saurabh was also one of the engineers selected by Shum Berger to work for its international services business in 1995 and gained experience of working in various global locations. He graduated as a Baker Scholar with an MBA from the Harvard Business School. He has also developed in depth understanding of international financial markets.

Board Of Directors

Sr. NO 1

NAME

DESIGNATION

Mr. Sameer Gahlaut

Chairman and whole time Director Director Director Director Director Director Director Whole Time Director

2 3 4 5 6 7 8

Mr. Samsher Singh Mr. Aishwariya Katoch Mr. Kartar Singh Gulia Mr. Gagan Banga Mr. Saurabh K Mittal Mr. Karan Singh Mr. Rajeev Ratan

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Max new york life insurance Max New York Life Insurance Company Ltd. is a joint venture between Max India Limited, one of India's leading multi-business corporations and New York Life International, the international arm of New York Life, a Fortune 100company. The company has positioned itself on the quality platform. In line with its vision to be the most admired life insurance company in India, it has developed a strong corporate governance model based on the core values of excellence, honesty, knowledge, caring, integrity and teamwork .Incorporated in 2000, Max New York Life (MNYL) started commercial operation in 2001. In line with its values of financial responsibility, Max New York Life has adopted prudent financial practices to ensure safety of policyholder's funds. The Company's paid up capital as on 30th April, 2009 is Rs1782 crore. MYNL shares a market share of 5.9% in the life insurance sector. MNYL has multi-channel distribution spread across the country. Agency distribution is the primary channel complemented by partnership distribution, banc assurance, alliance marketing and dedicated distribution for emerging markets. The Company places a lot of emphasis on its selection process

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for agent advisors, which comprises four stages - screening, psychometric test, career seminar and final interview. The agent advisors are trained in-house to ensure optimal control on quality of training. The company currently has around 92,760agent advisors at 710 offices across 385 cities. The company also has 36 referral tie-ups with banks, 24 partnership distribution and alliance marketing relationships each. Max New York Life has put in place a unique hub and spoke model of distribution to deepen our rural penetration. The company has 133 offices dedicated to rural areas. MNYL offers a suite of flexible products. It now has 43 life insurance products and 8 riders that can be customized to over 800 combinations enabling customers to choose the policy that best fits their need. The company currently has more than13, 923 employees.

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How network life entered the Indian market:-

New York Life International, INC., a Fortune 100 company, decided to select JOINT VENTURE as a medium to enter into the market of India. It has chosen MAX INDIA LTD., one of the Indias leading multi-business corporations. Through its wide network of highly competent wide network of highly competent agent advisors and flexible product solutions, MYNL is creating a partnership for life with its customers in INDIA to meet their life stage needs.

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Vision mission of the company

Vision To become one of the most admired life insurance company of India.Strong Corporate Governance Model.

MISSION Become one of the top quartile life insurance companies in India. Be a national player. Be the brand of first choice. Be the employer of choice. Become principal of choice for agents.

VALUES Knowledge: Knowledge leads to expertise, and our expertise is in helping people protect them. Perfectly combining global expertise with local knowledge, we are Indias life insurance specialist. MNYL believes that for knowledge to be of value it must be focused, current, tested and shared Caring:

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MNYL is redefining the life insurance paradigm by focusing on customers first. The service process is responsive, personalized, human and empathetic. Every individual who represents the company is for us our brand champion. Honesty: Honesty is the heart of the life insurance business. It is all about trust. Transparency, integrity and dependability form the cornerstones of the MNYL experience. The company ensures that everyone who represents the brand carries a promise: we care in word as well as deed. Excellence: Excellence at MNYL implies the ability to perform at a consistently high level. Focused on the value of continuous improvement in people, processes and the organization, the company strives for the highest standards of quality in every aspect of its business.

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products of the max new York life insurance

Products before new IRDA guidelines:SMART STEPS PLUS LIFE PARTNER PLUS UNIT BUILDER CAPITAL BUILDER

Products after new IRDA guidelines (w.e.f. 1 Jan. 2010):SHIKSHA PLUS FORTUNE BUILDER PLUS UNIT BUILDER PLUS SECURE DREAMS

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Customer development process

Potential s Prospects
First time customers

Disqualified Prospects

Repeat customer

Clients

Members

Advocate s Partners
PartnersDi squalified

Di sq ua lif
Inactive or Ex-customers

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Customer relationship management

c u s t o me r r e l a t i on s h i p ma n a g e me n t i s t h e p r o c e s s o f c a r e f u l l y managing detailed information about individual customers and all customers touch points to maximize customer loyalty. A customer touch point is any occasion on which a customer encounters the brand and product-from actual experience to personal or mass communications to casual observation. ax New York Life Insurance Company has also undertaken various steps to strengthen its customer relationship management.

Max

New

York

Life

Insurance

has

announced

the

introduction

of

INTERACTIVEVOICE RESPONSE (IVR) service in 10 different languages. The leap is in a bid to enhance and improve max New York Lifes customer and distributor experience by availing the customer service in their own language.

Sanjeev Mago, executive vice president, Customer Operations and Service Delivery, Max New York Life Insurance, said, "This initiative is yet another step towards improving customer satisfaction by enhancing their ease of resolving pre and post policy issues. At Max New York Life, we lay emphasis in interacting with our customers and distributors in their choice of language."

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In order to improve its customer relationship management, MNYL has maintained internal records and marketing intelligence systems to maintain database of profile and contact information of the customers

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Awards and achievements

MNYL Insurance has emerged as one of the best employer in the recently announced Business Today-Mercer-TNS Survey of 'The Best Companies to Work For in India'. The company was ranked 7thin the survey and the best life insurance company to work for in India. Awarded the Gallup Great Work Place Award 2009. CII Exim Bank Commendation Certificate for Business Excellence 2008 & 2009 Received Best Six Sigma Project award at 6th CII National Six Sigma conventions 2009. Outlook Money survey ranked MNYL No.1 in Slow, Medium and Quick fund categories. Among the top five most respected insurance companies in India as per Business world 2004 & 2006 survey. Won Indo-American Corporate Excellence Award for Best Indo-US company in Financial Services Category in 2006. Received Best Six Sigma Project award at Sakal Six Sigma Excellence Awards 2006.

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Among top 3 in Asia Life Insurance Company of the Year Award 2007instituted by Asia Insurance Review. Received the Amity Corporate Excellence Award 2007. Received the Outlook Money Award for being among the best new insurers in the country.

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Study of the department

Functions of various departments Every organization is made up of different department. Each department contributes to the running of the business. The most common departments are:

Marketing & Sales Finance Human resource Services Differentiation

Services Differentiation: With the launch of Health Family Floater Plan MNYL became the first and the only company to offer benefits for congenital disorder. It also introduces some other significant firsts and bests to the industry: Relevant and segmented benefit for parents Yearly increases on surgical benefits, even after claims Guaranteed renewability till the age of 75 years Highest number of Hospitalization Days and Daily Cash limits Highest number of critical illness covered Health insurance coverage for the longest duration - 10 years No upper limit on the family size.

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Human resource Department The role of Human resource department is in charge of recruiting, training, and the dismissal of employees in an organization.

Recruitment and selection Training programmes

Training programs are held by the HRD to improve the employees skills, as well as to motivate them. There are three main types of training: 1. Induction training 2. On-the- job training 3. Off-the-job training

Manpower Planning

The HR department needs to think ahead and establish the number and skills of the workforce required by the business in the future. Failure to do this could lead to too few or too many staff or staff with inappropriate needs.

Dismissal and Redundancy (retrenchment)

Dismissal is where a worker is told to leave their job due to unsatisfactory work or behaviour. Redundancy is when the business needs to reduce the number of employees either because it is closing down a branch or needs to reduce costs due to falling profits. It may also be due to technological improvements, and the workers are no longer needed.

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Marketing department These are the main section of the market departments:

Sales department is responsible for the sales and distribution of the products to the different regions. Research & Department is responsible for market research and testing new products to make sure that they are suitable to be sold. Promotion department decides on the type of promotion method for the products, arranges advertisements and the advertising media used. Distribution department transports the products to the market.

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Finance Department

Book keeping procedures Keeping records of the purchases and sales made by a business as well as capital spending. Preparing Final Accounts Profit and loss account and Balance Sheets Providing management information Managers require ongoing financial information to enable them to make better decisions. Management of wages the wages section of the finance department will be responsible for calculating the wages and salaries of employees and organising the collection of income tax and national insurance for the Inland Revenue. Raising Finance The finance department will also be responsible for the technical details of how a business raises finance e.g. through loans, and the repayment of interest on that finance. In addition it will supervise the payment of dividends to shareholders.

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S.w.o.t analysis strengths

1. Strong brand name and good financial position 2.Major life-insurance provider 3.Stable and growing revenue

Weakness 1. Direct access to equity-capital lacking 2.Lacking extensive global services 3.Limited global operations as compared to competitors

Opportunity 1. Expansion in other countries 2.Diversifying portfolios for customers 3.Asset management sector 4.New emerging markets

Threats 1. Changing govt regulations and financial crisis like recessions 2.Increase in insurance frauds 3.Stiff competition in the market Insurance sector is the fastest growing sector where there is lots of scope for the companies but competitors is increasing in this market. Competitors like Birla sun life, Reliance life insurance, Aviva etc.

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Finding-

As the people think that insurance is a tool to protect their family & a tax saving device. They area ware of the fact & realizing its, importance. There is a large potential for insurance in India.

The entrance of private players will increase the competition and it would be a tough task to secure a good position in market. Since Max New York Life Insurance is leading with several companies policies it should be easy for them to penetrate into the market and secure a good position if they pay greater attention to the service part provided to their customer and thereby forming a long and trusted relationship.

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conclusion
People are beginning to look beyond LIC for their insurance needs and are willing to trust private players with their hard earned money. People in general have been impressed by the marketing and advertising campaigns of insurance companies. A high penetration of print, radio and Television Ad campaigns over the years is beginning to have its impact now. Another heartening trend was in terms of people viewing insurance as tax saving and investment instruments as much as a protective one. A very high number of respondents have opted for insurance for such purposes and it shows how insurance companies have been successful to attract public money in recent times. The general satisfaction levels among public with regards to policy and a gents still requires improvement. But therein lies the opportunity for relative player like Max Life insurance. LIC has never been known for promote service or customer oriented method and max life insurance can build on this factor.

bibliography

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Books & Magazines Marketing Management by Philip Kotler Money Outlook Insurance Watch Brochures of Max New York Life Website Referred:www.maxnewyorklife.com www.indiabulls.com www.google.com www.bimaonline.com www.irda.com