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Summer training report on



At Reliance Life Insurance, Sirsa
Submitted in the partial fulfillment of the completion for the
degree of
Master of Business Administration

Submitted To: Submitted By:
Department Indu Bala
Of Business Administration MBA 2.3(HR)
Roll No. 64

Chaudhary Devi Lal University, Sirsa (Haryana)
Session (2012-14)

A large number of individuals have contributed to this report. This report is a humble
attempt to sketch done the contribution of all those persons who have directly or
indirectly given their precious time and help along with proper guidance for making this
report in the following shape.
First of all I would like to thank Mr. Lalit Goyal, Reliance Life Insurance,
Sirsa without whose permission report of reliance life insurance would have been
castle in the air.
Who always helped me and provided me relevant knowledge in the subject to
enable to prepare the project.

I hereby declare that the summer training report entitled PERCEPTION
submitted in partial fulfillment of the requirement for MBA 3
semester of Ch. Devi Lal
University is my original work and has not been submitted for the award of any other
degree at any other institute or university.

(Indu Bala)


For management careers, it is very important to develop managerial skills. In
order to achieve positive and concrete results, along with theoretical concepts, the
exposure of real life situation existing in a corporate world is very much needed. To
fulfill this need, this type of practical training is required.

I underwent summer training in RELIENCE LIFE INSURANCE, located in Sirsa.
It was my fortune to get training in a very healthy company. I got great opportunity to
view the overall working of the organization. In the forthcoming pages, I have attempted
to present a report covering different aspects of my training.

1. Industry Profile
2. Company Profile
3. Introduction
4. Research Methodology
5. Objective of the Study
6. Analysis & Interpretation
7. Findings and suggestions
8. Conclusion



Insurance in India
An Overview of the Insurance Industry in India
The history of the insurance industry in India dates back in 1818 when the first
insurance company was formed.
(Oriental Insurance Company Limited). It has since undergone several reforms in the
form of liberalization and nationalization. In the ensuing discussion, we shall seek to
explore the nature of the industry in general.
Regulation and Players in the Industry
This industry is regulated by the Insurance Regulatory & Development Authority
(IRDA). It ensures that all policyholders interests are protected. IRDA has listed all
stakeholders in the industry including corporate agents, brokers, surveyors, insurance
councils, state and life insurers and one main reinsurer.
These players in the market are the driving force towards achieving a record 3% of the
gross domestic product in the economy in India. The brokers, for example, are
assigned the work of distributing the premiums mainly through direct sales. IRDA also
offers guidelines with regard to investment in mutual funds, pension, general annuity
funds and group schemes.
Services in the Industry
The services rendered by this industry are overshadowed by the industry\s history of
liberalization and nationalization. Two main sectors exist. They are the public sector
and the private sector with the former dominating the market.
Individual company service provision includes such services as life insurance
(endowment assurance, money back and miscellaneous services) and general
insurance/non life insurance (includes marine insurance, motor insurance which is
compulsory in the country, fire insurance etc.).
Future of the Industry
From as early as 1947 to 1972, this industry has gone through dynamic change. With
the formation of the regulatory body, passing of the insurance act, and passing of
various reforms, this industry has become competitive and continues to attract interest
from foreign countries. However, the recent economic recession has greatly affected
this industry.
Currently, there is a major credit crisis affecting the industry. A typical example is the
collapse of US based AIG Company that has had ripple effects on to Indias TATA-AIG
General Insurance Company. Bajaj Allianz, Prudential and ICICI companies have
already closed some of their branches. Many players have proposed the merging of the
various companies in the sector to be able to caution themselves from the crunch. It is
equally important to note that recession is not new to Indias economy. The country has
been able to come out of one once and it can do so even now.
The Indian Insurance Industry
India insurance is a flourishing industry, with several national and international players
competing and growing at rapid rates. Thanks to reforms and the easing of policy
regulations, the Indian insurance sector been allowed to flourish, and as Indians
become more familiar with different insurance products, this growth can only increase,
with the period from 2010 - 2015 projected to be the 'Golden Age' for the Indian
insurance industry.
India Insurance Policies at a Glance
Indian insurance companies offer a comprehensive range of insurance plans, a range
that is growing as the economy matures and the wealth of the middle classes
increases. The most common types include: term life policies, endowment policies, joint
life policies, whole life policies, loan cover term assurance policies, unit-linked
insurance plans, group insurance policies, pension plans, and annuities. General
insurance plans are also available to cover motor insurance, home insurance, travel
insurance and health insurance.
Due to the growing demand for insurance, more and more insurance companies are
now emerging in the Indian insurance sector. With the opening up of the economy,
several international leaders in the insurance sector are trying to venture into the India
insurance industry.
India Insurance: History
The history of the Indian insurance sector dates back to 1818, when the Oriental Life
Insurance Company was formed in Kolkata. A new era began in the India insurance
sector, with the passing of the Life Insurance Act of 1912.
The Indian Insurance Companies Act was passed in 1928. This act empowered the
government of India to gather necessary information about the life insurance and non-
life insurance organizations operating in the Indian financial markets.
The Triton Insurance Company Ltd formed in 1850 and was the first of its kind in the
general insurance sector in India. Established in 1907, Indian Mercantile Insurance
Limited was the first company to handle all forms of India insurance.
Indian Insurance: Sector Reform
The formation of the Malhotra Committee in 1993 initiated reforms in the Indian
insurance sector. The aim of the Malhotra Committee was to assess the functionality of
the Indian insurance sector. This committee was also in charge of recommending the
future path of insurance in India.
As on 1.04.2000 there is only one life insurer i.e. Life Insurance Corporation of India
(LIC). But after 1.04.2000 many other player has been entered in the life insurance
industry those are given below: -
Life Insurers:
S.No. Reg. Number Date of Reg. Name of the Company
1 101 23.10.2000 HDFC Standard Life Insurance Company Ltd.
2 104 15.11.2000 Max New York Life Insurance Co. Ltd.
3 105 24.11.2000 ICICI Prudential Life Insurance Company Ltd.
4 107 10.01.2001 Kotak Mahindra Old Mutual Life Insurance
5 109 31.01.2001 Birla Sun Life Insurance Company Ltd.
6 110 12.02.2001 Tata AIG Life Insurance Company Ltd.
7 111 30.03.2001 SBI Life Insurance Company Limited .
8 114 02.08.2001 ING Vysya Life Insurance Company Private
9 116 03.08.2001 Bajaj Allianz Life Insurance Company Limited
10 117 06.08.2001 MetLife India Insurance Company Ltd.
11 121 03.01.2002 Reliance Life Insurance Company Limited.
12 122 14.05.2002 Aviva Life Insurance Co. India Ltd.
13 127 06.02.2004 Sahara India Insurance Company Ltd.
14 128 17.11.2005 Shriram Life Insurance Company Ltd.
15 130 14.07.2006 Bharti AXA Life Insurance Company Ltd.
16 133 04.09.2007 Future General India Life Insurance Company
17 135 19.12.2007 IDBI Federal Life Insurance Company Ltd.
18 136 08.05.2008 Canara HSBC Oriental Bank of Commerce Life
Insurance Company Ltd.
19 138 27.06.2008 AEGON Religare Life Insurance Company Ltd.
20 140 27.06.2008 DLF Pramerica Life Insurance Company Ltd.
21 142 Star Union Dai-ichi Life Insurance Co. Ltd.,
22 143 05.11.2009 India First Life Insurance Company Ltd.

General Insurers :
S.No. Reg. Number Date of Reg. Name of the Company
1 102 23.10.2000 Royal Sundaram Alliance Insurance Company
2 103 23.10.2000 Reliance General Insurance Company Limited.
3 106 04.12.2000 IFFCO Tokyo General Insurance Co. Ltd
4 108 22.01.2001 TATA AIG General Insurance Company Ltd.
5 113 02.05.2001 Bajaj Allianz General Insurance Company
6 115 03.08.2001 ICICI Lombard General Insurance Company
7 123 15.07.2002 Cholamandalam General Insurance Company
8 124 27.08.2002 Export Credit Guarantee Corporation Ltd.
9 125 27.08.2002 HDFC-Chubb General Insurance Co. Ltd.
10 131 03-08-2007 Apollo Munich Health Insurance Company
11 132 04-09-2007 Future Generali India Insurance Company
12 134 16-11-2007 Universal Sompo General Insurance Company
13 137 8.05.2008 Shriram General Insurance Company Limited,
14 139 27.06.2008 Bharti Axa General Insurance Company Ltd.
15 141 15.12.2008 Raheja QBE General Insurance Co. Ltd.
Brief introduction to some of them are as under:
Life Insurance Corporation of India (LIC) was established on 1 September 1956 to
spread the message of life insurance in the country and mobilize peoples savings for
nation-building activities. LIC with its central office in Mumbai and seven zonal offices at
Mumbai, Calcutta, Delhi, Chennai, Hyderabad, Kanpur and Bhopal, operates through
100 divisional offices in important cities and 2,048 branch offices. LIC has 5.59 lakh
active agents spread over the country.
The Corporation 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. It has also entered into an agreement with the Sun Life
(UK) for marketing unit linked life insurance and pension policies in U.K.
The total new business of the Corporation during 1998-99 was Rs 75,316 crore
of sum assured under 148.43 lakh policies. LICs group insurance business up to 31
March 1999 was Rs 66,085 crore (provisional) providing cover to 219 lakh people.
A Social Security Fund (SSF) administered by the LIC was set up in 1989- 90 to meet
the insurance requirements of the weaker and vulnerable sections of the society. As on
31 March 1999, about 49 lakh people belonging to 24 occupational groups/areas have
been covered under various social security group schemes financed from the SSF.
Under these schemes people in the age group of 18-60 years are covered for a sum of
Rs 5,000 on death due to natural causes, and Rs 25,000 on death caused by accident.
While the SSF subsidies 50 per cent of the premium, the beneficiary has to pay the
remaining 50 per cent.
Under Landless Agricultural Laborers Group Insurance Scheme (LALGI) in
operation since 1987, the heads of the families in the age group of 18 to 60 years and
not appearing as a land holder in the revenue records and not having inheritable right in
agricultural land are eligible to be covered for an insurance cover of Rs 2,000 payable
only on death before 60 years. Up to 1 April 1990, it was operated by LIC on behalf of
the Central government which used to reimburse to LIC the premium payable by the
beneficiaries. However, with effect from 1 April 1990 the entire premium payable by the
beneficiaries is being met out of the SSF. At present, about 1.2 crore landless
agricultural laborers are covered under the Scheme. During 1998-99, 47,122 claims
were settled.
All over the country, the Integrated Rural Development Programme (IRDP)
beneficiaries between the age group of 18 to 60 years are covered under a Group Life
Insurance Scheme being operated by the LIC for which the entire premium is paid by
the Central government. An amount of Rs 5,000 is payable to the beneficiary in case of
normal death and Rs 10,000 in case of accidental death. During 1998-99, 5,896 claims
were settled. The Rural Group Life Insurance Scheme (RGLIS), announced on 15
August 1995, is a group insurance scheme which provides a life cover of Rs 5,000 for
persons in rural areas. The premium payable is Rs 60 per year for those who enroll up
to the age of 40 years and Rs 70 per year for those who enroll beyond40 years and up
to 50 years. The entry age is restricted to 20 years (minimum) and 50years (maximum).
Deaths occurring after 60 years are not covered. Nor is there any saving element in the
Scheme. There are two types of scheme:
(i) General Scheme - for persons between the age 20 and 50 years where
premiums are to be paid by the members in full and
(ii) Subsidized Scheme - for persons between the age of 20 and 50 years who
belong to a household below- poverty line. Only one member of such a
household is eligible under the scheme where 50 per cent of the premium is
shared by the Central government and State government in equal
proportions. Intermediate Level Panchayats are designated as the nodal
agencies for its implementation. LIC provides incentives to village level
workers of Rs six for enrolment of a new member and Rs three on renewal of
insurance cover for an existing member in the subsequent year. From 15
August 1997 to 14 August 1998, 3,09,252 persons were enrolled and 73,925
persons renewed their membership. Among them 2,98,917 and 70,183
persons were under subsidized category respectively 5,047 claims were
settled up to 31 March 1999.
ING Vysya realizes the fact that they are the security provider of peoples
money, so they look forward to increasing the confidence level amongst the customers.
The customers retain faith in the company as the company assures them of covering
their risk at the time of contingencies and thereby settling their claims as early as
ING Vysya is very fair and transparent in its dealings not only with its employees
but with its customers also. They assure the security of customers money by providing
physical evidence in the form of written document. Every transaction takes place in the
written form which gives a sense of reliability to the customers.

Keeping in touch with customers
ING Vysya has adopted the strategy of contacting its customers every quarter of
the year and thereby intimating them of the status of the policy and at the same time
enquiring about their complaints/ queries if any.
Thus the company contributes to the welfare of its customers by resolving or
welcoming all the queries from them and thereby maintains their standard by regularly
updating them about any new plans or schemes being introduced.
Standard rate of interest with surrender value
ING Vysya is the only company to pay the surrender value to its customers on
discontinuity of the policy along with a standard rate of interest of 4.7%. Along with this
they also pay the premium, which the policy would have earned. This way the company
tries to attract and retain its customers for as long a period as possible.
Outsourcing Department
When business is good there is less incentive to look at various business
processes and re-evaluate what is working at an optimal level and what isnt. ING
Vysya has a toll free no. Through BPOs ING Vysya retains a major chunk of its
customers. Policy servicing can be done through these centers. Customers can enquire
about the status of the policy i.e., due premium, date of renewal, date of revival etc.
Authority to Agents/Advisors
Employees of the company are empowered to solve the problems of its
customers anytime. Customers can speak to them online and get their problems
solved. In case they remain unsatisfied even after that, they can directly speak to the
higher authorities of the company.
The Company never fails to send cards to its customers on their Birthdays and
anniversaries. They send them gifts and bouquets on the occasion of marriage and

Company Profile

Reliance General Insurance Reliance General Insurance is one of the fastest
growing private sector general insurance companies in India and offers a range of
products for the corporate and individual customers. Reliance General Insurance
currently offers over 95 insurance products including Health, Home, Motor, Travel, Fire,
Engineering, Marine, Liability and Aviation.
Key Business & Financial Highlights:
Reliance General Insurance has notched a premium of Rs.1946 crores during the
FY 2007-08, an exponential growth of 113 per cent as against the industry growth of
13 per cent.
The Companys new business premium of Rs.1034 crores for the FY 2007-08,
constitutes 33.01% of the Industrys new business premium.
Reliance General Insurance ranks among the Top three private sector general
insurance companies in India, during FY 2007 - 08
Enjoys a 17 per cent market share amongst the private sector players.
The distribution network extends across 200 Branch Offices spread across 172
cities in 22 States.
Reliance General Insurance has achieved the ISO 9001:2000 certification for
maintaining quality standards across all functions, processes, products and
locations pan-India. This has made RGI the first general insurance company in the
industry to achieve this milestone.
Has many Industry firsts to its credit including the first Over-The-Counter retail
health insurance policy in India - Reliance Health wise Policy.
The health kit system, launched by RGI was conferred the PC Quest award for Best
IT implementation.
The Reliance Home Insurance film won an ABBY Award at Ad Fest 2008
Rapidly expanded the width and depth of the customer touch points over the last 2
years. The current customer touch points are offered through distribution channels
like Agents, Banc assurance, Motor, Broking, Travel, Direct Sales and Rural.
You work a lifetime to realize your dreams, from building a dream home to
driving your dream car, taking an international vacation or even safeguarding the health
of your family, there are many things, seen or unseen that might hold dear to you.
At Reliance General Insurance, we understand your dreams and realize the
need to protect it. We endeavor to protect all that you value. Our adherence to the best
international practices in the insurance industry allows company to provide you world
class service. Our extensive range of insurance products is specially designed to
protect you at every step, so that you can focus on achieving your dreams.

And in our quest to safeguard your dreams, we take our inspiration from life
itself. From the small miracles in nature to the legends of the past or the heroes of the
present, if there is a great feat of protection involved, we believe there is something to
Company has showcased some of these great feats of protection that inspired
company especially for you.
Corporate brochure
Corporate AV
Board of Directors

Mr. Dabadatta Sengupta
Mr. Dabadatta Sengupta was the Chairman of General Insurance Corporation and prior
to this was the CMD of New India Assurance. He has also been a director with the
ICICI group.

Mr. Satyapal Talwar
Mr. Satyapal Talwar was the Chairman & MD in Bank of Baroda and later as Deputy
Governor in the Reserve Bank of India. He has held the post of non-executive
Chairman in various boards post retirement. An arts and law double graduate, he is
also a certified associate of the Indian Institute of Bankers.

Mr. Rajendra P. Chitale
Mr. Rajendra P Chitale is an eminent Chartered Accountant, is the Managing
Partner of M/s M.P.Chitale & Co. He is a Director on the Board of the National Stock
Exchange of India (NSC) and other reputed companies. He is also a member of the
Advisory Group on Derivatives and the Takeover Panel, Securities and Exchange
Board of India as well as the Company Law Advisory Committee of the Government of
Mr. Soumen Ghosh
Mr. Soumen Ghosh holds a BSC (Hons) degree in Mechanical Engineering from
the University of London (UK). He is also an Associate Chartered Accountant from the
Institute of Chartered Accountants England & Wales. Mr. Ghosh has rich experience in
the Insurance domain. Prior to joining Reliance ADA Group, Mr. Ghosh was associated
with the Bajaj Allianz Group and was Director of various associate companies. He has
also served as the CEO of Bajaj Allianz General Insurance and CEO & Country
Manager of Bajaj Allianz Life Insurance.
To achieve business success by improving operational efficiencies, Reliance
General Insurance realizes the need to tighten up and streamline both channel partner
relationships and back office operations. The brokers and channel partners are the
interface to end customers. They play a vital role in helping sustain existing customers
as well as attract new customers through better and diverse services. So it is imperative
that company is well connected with brokers/channels partners as well as meet their
needs. Improvement in back office operations can happen if policy production and
billing are automated; overall claims expenses are reduced, and claims settlement is
made faster.
To be successful at doing this, company need to nurture both parts of the
solution equation, that is, creation of solution-oriented strategy and deployment of
solution-based scalable technology that enables meeting of strategic goals laid out as
part of our enterprise strategy. In the current scenario many insurers either rely on
manual methods or custom coded solutions that lack strategic approach to address
their business needs. Manual execution of their crucial operations leads to many errors
that occur in documents passed from insurers to brokers or ceding companies to
reinsurers, which results in lengthy settlement cycles. While custom coded interfaces
are developed to meet a certain set of needs only. They are not scalable so cannot
meet changing needs and require recurring IT investment to keep them in use.
Reliance General Insurance Co. Ltd is in the process of rolling out a 'Centrally
controlled, decentralized delivery' operations structure to ensure speedy processing
and service while maintaining predictable and strict quality control. A solution is also
being developed to offer strategic value through systematic design and deployment of
BPM and integration technologies. The solution will address volatile situations, and
shall be a scalable and reusable solution. It would help meet the challenge of
operational costs saving while enabling company to exploit business expansion
The IT strategy aims to integrate the business and IT visions and has been an
important instrument in facilitating the dialogue between the IT community and the
business leaders across the Company. The importance of planning, in this fast-paced
environment, has never been more critical. The technical and business segments have
worked closely to identify the impact of external drivers, clarify the business needs, and
ultimately determine how IT can best help in achieving the business goals.
Our Customers form the centre piece of the business architecture and rightly so,
be the focal point from a technology perspective as well. Our Endeavour shall be to
provide easy, consistent and instant access of relevant information to customers across
multiple channels and touch points. All our technology initiatives shall be geared
towards this objective.
The Company recognizes that the security of information requires an ongoing
commitment. Towards this end a security program would provide a continuous cycle for
assessing risk, developing and implementing effective security procedures, and
monitoring the effectiveness of those procedures. Company wants to guarantee the
reliability, confidentiality and availability of critical information. To that end, we will
continue implementation of our strategy for enhancing information security
management controls.
Company is in a challenging environment, dealing with all the changes in
technology, the insurance industry, the IRDA regulations and the workplace. The
expectations of what information technology (IT) can do to benefit the business and its
customers continue to grow. Company has been working hard to provide day-to-day IT
services, while keeping our eye on where the Company is headed strategically, and
also transforming the IT organization to meet future requirements.
At Reliance General Insurance, Company identifies Quality and Customer-focus
as our key strategic initiatives. Our Quality roadmap, strictly aligned with our business
priorities, is benchmarked to the best contemporary global practices, and is designed to
support our single-minded objective of maintaining world-class quality standards.
Our quality system deployment, defined from the point of the view of our
customers, is to enhance customer experience at all the touch points. As part of this
initiative, every business process in the organization is identified, documented,
automated and deployed. These processes are further monitored continuously through
their compliance scores and dashboard measures and reviewed by the Senior
Management team within the organization.
In fact this passion has taken company one step ahead. Company is pleased to
share the recognition of our Quality Management System by reputed global quality
standards auditing organization Det Norske VERITAS (DNV), which has awarded
company the ISO 9001:2000 certification. The certification confrms our adherence to
design, development & sale of General Insurance product offerings to meet customer
needs and in line with 'IRDA regulations'
What does the ISO 9001: 2000 certification mean to company's Customer?
Streamlined processes and procedures: Reliance General Insurance has
established well-defined and documented process and to
help understand our Customers requirements and
address them to their satisfaction.
Superior Service Standards: Our unwavering
commitment to excellence ensures prompt and correct
documentation while also ensuring transparent & speedy
claims settlement

Some Reliance polices
Reliance Health wise Policy
Key Highlights:-
Rs. 2 lakh cover for a family of two at Rs. 2245 per annum
24 x 7 cashless facility and TPA support
No medical check-up up to age of 45 years
Income Tax benefit under Section 80 D

Access to quality healthcare is a necessity today. The Reliance Health wise
Policy ensures you provide the best medical care to your family. Company offers a
health insurance policy that gives you the optimum value for money without
compromising on the quality of medical attention.
Affordable Premiums
Company offers premiums as low as Rs. 2245 p.a. for a sum insured of Rs. 2
lakhs, for a couple
The Family Floater benefit covers the entire family, ensuring that the cover is
used optimally
Policies are available for people up to the age of 65 years.

Convenience all the way
No health checkups for people under the age of 45 years.
With our instant health-kit issuance, your health cover gets an instant start.
A 24-hour cashless facility is provided at more than 4,300
hospitals across India.
With the Reliance Health Wise Policy, you can avail of tax
benefits under Section 80D of the Income Tax Act.

Reliance Two Wheeler Insurance Policy
Key Highlights:-
Cashless facility for a hassle-free claims processing
Speedy claims settlement
Easy documentation
Two wheelers are convenient and exuberant. With the many advanced features
added in, today's two wheelers are safe too. However, the possibility of damage to your
pride and joy exist by way of theft, natural calamities and accidents. Ensure your peace
of mind with Reliance Two Wheeler Insurance Policy. It gives you comprehensive cover
for your vehicle.
Complete Cover:-
Reliance Two Wheeler Insurance Policy gives you complete insurance cover on
the road and off it.
It covers your car against accidents, burglaries, natural calamities etc.
It will also give you personal accident insurance cover and third party liability
Towing service owned and operated by company to cut down on inefficiencies.
Company also provide an allowance of Rs. 300 towards towing charges if
A network of 1700 garages in over 231 cities to provide you with cashless
Super-fast service:-
Instant policy issuance.
Company values your time and when you call in a claim company respond
immediately. Company has set up a 24/7 helpline for emergency services.
Company also makes sure that a survey of the vehicle is arranged within 8
working hours.

If you have not made a claim in the previous year, you can get a 'No Claim
Bonus' reward when you renew your policy.
You also have the option of transferring 'No Claim Bonus'
to your new vehicle.
Company give our valued customers additional discounts
o Voluntary excess
o Membership of a recognized automobile
o Discount if side-car is attached
o Installation of anti-theft device
There are special discounts for physically challenged car owners and vintage
vehicles are you sure about vintage vehicles in two wheelers.

Reliance Home protect Policy
Key Highlights:-
Starts from Rs. 499 per year only
Instant policy issuance
Policy covers valuables, consumer durables, other home contents
Personal Accident cover for family of four
Your home is probably your most valuable asset, both as an investment and as your
sanctuary in a hectic world. You need to protect it from harm.
Reliance Home Protect Policy offers quality, basic coverage with many standard
features, plus a full array of coverage options to enhance your protection
Maximum Coverage:-
Comprehensive coverage for your home contents, appliances and valuables.
Compensation against accidental death and disability.
Coverage at reasonable premium.
Coverage on first loss basis against burglary, valuables & mechanical/electrical
breakdown sections.

Quick Reliable Service:-
Easy Documentation.
Fast, fair and reliable claims payment
Policy Coverage
Home content and appliances:-
Fire and allied perils including earthquake.
Burglary, housebreaking, hold-up.
Terrorism at the option of the insured.
Electrical and mechanical breakdown.
Fire and allied perils including earthquake.
Burglary, housebreaking, hold-up including theft.
Robbery, waylaying, snatching away.
Personal Accident Cover
Death, Permanent Total Disablement (PTD) & Permanent Partial Disability arising
out of accident.
Reimbursement of expenses incurred for transportation of dead body to residence
subject to a maximum of Rs. 2,500/- (death due to accident).

Reliance Individual Personal Accident Policy
Safety is always a paramount concern. However accidents do occur. An accident at
home could be simply broken glass or a gas cylinder burst.
Reliance Individual Personal Accident Policy is one of the key security measures
to undertake for providing financial security in case of a injurious accident.
It ensures that one's family does not suffer in event of an accident by providing
compensation for accidental death or disablement.
Key Benefits:-
Reliance Individual Personal Accident Policy covers you against risks of accidents.
It not only provides compensation to the family in case of the accidental death of the
insured but also takes on the onus of providing the insured with compensation in
case of injury, whether temporary or permanent.
The sum insured increases by 5% for each completed claim-free year of insurance,
subject to a maximum of a 50% increase.
This policy can also be expanded to cover actual medical expenses arising out of
the accident

Policy Coverage:-
Reliance Individual Personal Accident Policy will cover you against:
Accidental Death On the accidental death of the insured
person, Company will pay the family the capital sum
Permanent Total Disability In the event of permanent
total disability due to an accident, company will also pay
the capital sum insured.
Permanent Partial Disability In case of a partial
disability due to an accident, a specified percentage of the
sum insured will be paid. To know the specific percentage of the sum assured that
will be paid
Temporary Total Disability If you are totally disabled by an accident for a limited
period of time, the policy will pay you 1% of the capital sum insured per week, not
exceeding Rs 5,000 per week.
Value Added Benefits
Reliance General Insurance aim at giving you maximum value for your money. Hence,
this policy has value-added benefits for your family.
Carriage of Dead Body In the event of accidental death outside the residence, a
lump sum of 2% of capital sum insured, subject to a maximum of Rs. 2,500, will be
paid towards transportation of the insured person's dead body to place of residence.
Education Grant Company believe children need protection and nurturing. In the
event of accidental death or permanent total disability for which a claim is payable,
Company also provide an education grant for the children of the insured. An amount
equal to 10% of the capital sum insured, subject to a maximum of Rs 5,000, will be
paid in the case of one dependent child below the age of 25 years. With two
dependent children below the age of 25, an amount equal to 10% of the capital sum
insured, subject to a maximum of Rs 10,000, will be paid.
The policy excludes cover for death or disablement due to:
Any natural calamity
Any pre-existing conditions / disabilities
Pregnancy or maternity
War or nuclear perils
Any mental disorder
Riots, crimes, misdemeanors and felonies
Needless exposure to peril, except in an attempt to save human life
This policy can be issued to persons in the age group of 5 years to 70 years.
It can be extended to cover persons beyond the age of 70 years and up to 80
years on payment of suitable additional premiums.



Life is full of risk and uncertainties. Since we are the social human being we have
certain responsibilities too. Indian consumers have big influence of emotions and
rationality on their buying decisions. They believe in future rather than the present
and desire to have a better and secured future, in this direction life insurance
services have its own value in terms of minimizing risk and uncertainties. Indian
economy is developing and having huge middle class societal status and salaried
persons. Their money value for current needs and future desires here the pendulum
moves to another side which generate the reasons behind holding a policy. Here
the attempt has been made in this research paper to study the buying behavior of
consumers towards life insurance services.
Life insurance is one of the best known insurance products today. People buy these
products as investment tools and also as protection for themselves and their
families. All the insurance companies the world over are looking at attracting the
eye balls of customer and positioning their solutions innovatively to cater to niche and
specific markets. One of the most critical aspects both from the view point of the
customer and the insurer is getting important and relevant leads that can be
beneficial for both.

Detail study about Money back Policy

'MONEY BACK plan is an excellent plan with good return on reinvestment, best
suited for businessmen and professionals. Money is available at regular intervals in
future to meet the specific expenses such as children's education or marriage. At
the same time, the provides insurance protection for the family as well as old age

Salient Features:-

Where lump sum amounts are paid to the life assured at periodic intervals on
In case of death of the life assured within the term, the total sum insured is paid
to the nominee, irrespective of earlier survival benefits.
Bonus is payable under this scheme.
Premiums are to be paid regularly to get survival benefits. Premiums cease at
death or on expiry of term whichever is earlier. This plan can be availed of for
terms 20 or 25 years.


On Death:
Full sum assured is payable at death of the life assured within the term, without
any deduction of earlier survival benefits. (e.g. for example, suppose a person
takes a Rs.1,00,000/- for 20 years. At the end of the 5th and 10th year he
receives Rs.20,000/- each as survival benefit. If he happens to die in the 12h
year, the nominee of the life assured will receive full Rs.1,00,000/-, irrespective of
the earlier benefits of Rs.40,000/-)

On Survival:


At the end of

Amount of money back
For Example, on Rs.


year 20% of sum assured Rs.20,000/-
year 20% of sum assured Rs.20,000/-
year 20% of sum assured Rs.20,000/-
year 40% of sum assured Rs.40,000/-

5year 15% of sum assured Rs.15,000/-
year 15% of sum assured Rs.15,000/-
year 15% of sum assured Rs.15,000/-
year 15% of sum assured Rs.15,000/-
year 40% of sum assured Rs.40,000/-

Chapter 4

Research Methodology

Research Strategy

For my research study first of all this is very important that I have to know what
is money back policy and how it works. Ill visit Reliance Life Insurance Company
in SIRSA to know more about Money Back policy.

Collection of data:-

Primary Source

Sampling Design

a) Population: Population included investors in SIRSAregion.
b) Sample frame: Since the data was collected through personal contacts,
the sample frame was the individuals who are investing in life insurance

Sampling elements:
Individual respondents were the sampling elements.

Sampling Techniques:
Purposive sampling technique was used to select the samples.

Sample Size:
Sample size was 50 respondents.

Secondary Source

The common source for secondary data includes different websites & books and

Reliance Life Insurance office in Sirsa.

Chapter 5

Objectives of the Study

TO evaluate the perception of investment in Money Back Policy of life insurance.

To find out the reasons for giving preferences to Money Back Policy.

To find out the customer satisfaction with money Back Policy.

Chapter 6

Data Analysis and Interpretation

Ques 1:- Do you have money back plan or not?


Fig. 1

No. of respondents

Per. of respondents

Survey transpired that 41 respondents are having MONEY BACK policy, 9 respondents
have not the policy.


Ques 2:- Which type of insurance plan you have purchased?

Survey transpired that the persons who are having INSURANCE policy, 7 respondents
are having ULIP, 24 were having traditional, 12 had health and there were 2 who had
term plan.

Plan No. of respondents Percentage
Ulip 7 14%
Traditional 24 48%
Health 12 24%
Term 2 4%
Ques 3:- What is your purpose for buying Money Back Plan?

No. of respondents percentage
For old age saving 25 50%
Family saving 7 14%
Time to time needs 10 20%
8 16%


Most of the people buy insurance policy for his old days saving because they
want to save money for old age and only 21% people buy insurance for time to
time needs.

for old age saving
Family Saving
Time to Time
Ques 4: How much money you have invested in insurance?

10000-15000 7
15001-20000 15
20001-25000 15
25001-30000 10
30001-35000 3


Mostly people invest in insurance his saving amount and according to their
saving they purchase life insurance policy. Here most of the people invest 15001
Rs. To 25000 Rs. And very less number of people invest huge amount in

15 15
Ques 5:- In what mode you are paying your premium?

YEARLY 18 36%


Insurance company give a lots of facility to his loyal customer for pay his premium.
Customer also pay the premium in three mode monthly, half yearly and yearly.
Here 39 % respondent pay in half yearly mode and 35% respondent pay yearly
mode premium.
Mode of Premium
Ques 6:-How many Money Back policy you have?

No. of policies No. of respondents Percentage
0 8 16%
1 13 26%
2 17 34%
3 10 20%
4 & above 2 4%

Survey transpired that 8 respondents dont have any policy, 13 were having one
money back policy.17 were having two and 10 were having three polices, 2 had
more than four polices.

No. Of Policy
4 and above
Ques 7:- Are you satisfied with the return on investment, which
you are getting from your policy?

very satisfied 11 22%
satisfied 29 58%
cant say 2 4%
not much satisfied 2 4%
dissatified 6 12%

Here we see very positive result of my respondent about money back policy
product. In that 58% respondent satisfied with return on this money back policy
and 22% respondent very satisfied with money back policy.and 16% respondent
not satisfied with return on this money back policy.
2 2
Satisfaction level
Chapter 7

Findings and suggestions


In present Indian market, the investment habits of Indian consumers are
changing very frequently. The individuals have their own perception towards
various types of investment plans. The study of this research work was focused over
consumers perception on investment towards money back policy of Life Insurance
Services. The objectives of the study were to evaluate the factors underlying
consumer perception towards investment in life insurance policies; and to compare
the differences in consumer perception of male and female consumers.
In india LIC have a 25 years monopoly and
costumers were bound to buy insurance from LIC but in 2000 maximum private
insurance companies enter in the Indian insurance market and that time very less
number of people want to buy insurance from this private companies and today also if
see this survey then according to survey 62% people believe in LIC and
remaining 38% people go with private companies like Reliance Life Insurance,
ICICI Prudential. But today the face of insurance market is totally changed now
people move to private sector insurance companies. because this private companies
gives more bonus and return to his costumer .and costumer also buy that policy
where he got more bonus and return. Now a days controversy is going on between
SEBI and IRDA about ULIP policies.
In ULIP policies companies charged a
huge money in first premium of his policy and that policy return also depend on
market if market is on peak then costumer have good profit with good return. and
insurance market is affected by this controversy now people are scared to buy ULIP
policy only 22% people interested to buy this plan but people more attracted in
traditional and money back plan because in this costumer have a certain return
guarantee and charges also less in comparison than ULIP policy and Money Back
policy is a traditional plan where more number of people attracted.
According to survey 82% people interested to buy this Money
Back policy and they are satisfied with this policy. Through my study it is found
that 84% people are familier with money back policy & on other hand 16% are not
familier.80% people are satisfied with money back policy.


During the survey suggestions are sought from the respondents. Respondents gave
their various suggestions. Some of them are as under:
Company's executive / Sales Staff should be trained that they should not pressurize
people for taking any policy, which gives a bad name to company's executive as well as
to the company.
Company should not call on anonymous numbers for advertisement in the name of
offering prizes.
Company should not impose hidden terms and conditions upon its consumer.
Some suggested that company should provide all modes of payment for all policies.
Some demanded more facilities for long term policy holders.

Chapter 8


The perception of the Money back plan of reliance life insurance is good towards the
costumer. In RLI Reliance Cash Flow Plan is the cash back plan. Necessarily
customer need that type of plan where they get any benefit and safety for his money
and this plan is safe as well as benefitted also because there is a lots of benefit with
this plan so this is the reason this plan is more popular in Indian market. Savings
and Investment Plan gives the double benefit of easy liquidity through lump
sum cash along with life insurance. During the time of need this policy provides
the money at times. This policy gives the freedom to the insured to live to the full at
present and at the same time assures the safety of the future by giving the flexibility of
being paid a specific percentage of the Sum Assured at particular intervals. But Indian
customer perception basically this

1. Easy liquidity of periodic cash flow at the end of the 4th year and
thereafter at the end of every 3 years.

2. Savings with Investment Plan

3. Safety for the money

The consumers perception towards Life Insurance Policies is positive. It
developed a positive mind sets for their investment pattern, in insurance policies.
Still some actions are needed for developing insurance market. The major factors
playing the role in developing consumers perception towards Life Insurance Policies
are Consumer Loyalty, Service Quality, Ease of Procedures, Satisfaction Level,
Company Image, and Company-Client Relationship. Insurance industry has to go
ahead. A lot of opportunities are still waiting. This research will help in developing the
market share, loyalty and further development in insurance sector.


1. Time period of our survey was not enough, which was very limited.
2. The study was done in a limited geographical area of Sirsa city only, thus the result
cant be applied everywhere.
3. Convenient sampling is used which makes the research less reliable.
4. Sample size was small after considering the database of existing customers
5. Due to lack of awareness very few citizens has given their response.
6. Due to lack of free time available of citizens very few citizens has given their
7. Sample size of 100 citizens was very less as compare to whole Sirsa
8. Many citizens did not want to meet with any person who was related with insurance.
9. Many citizens did not want to show their income and other information regarding


1. Booklets, brochures and pamphlets of HDFC, LIC, ICICI, Tata AIG, ING
Vyasa, prudential and Om Kotak Mahinda
2. Kotler, Philip, Marketing Management
3. Kothari, C.R. Research Methodology.

1. http://www.reliancegeneral.co.in
2. www.nseindia.com
3. www.bseindia.com
4. www.amfiindia.com
5. www.indiainfoline.com
6. www.valueresearchonline.com
7. www.irda.com

Page | xli


Respected Sir/Madam,
I am a student of M.B.A. are doing a project work on "Perception Study on
Money Back Policy of Reliance Life Insurance". For the purpose, I have some questions
below. So, I request you to please answer the following questions with the right
information. I assure you that the data obtained from you, shall be used only for
academic purposes.

Name . F'Name.
Age. Occupation ..

1. Do you own any life insurance policy?
i) Yes ii) No

2. How many life insurance policies you have?
i) One ii) 2 to 3
iii) More than 3
3. According to you why any insurance policy is taken?
i) Safety ii) Investment
iii) Tax benefit iv) Any other
4. Do you take any advice before taking any insurance policy?
i) Yes ii) No
5. According to you which mode of premium is best?
i) Annual ii) Half yearly
iii) Quarterly iv) Monthly
6. How would you rate your satisfaction level of your company's service?
i) Good ii) Satisfactory
iii) Not satisfied
7. Do you think comparative analysis of various schemes should be done before
investing in any policy?
i) Yes ii) No
iii) Some times
8. Are you aware with Reliance General Insurance Co. Ltd.?
i) Yes ii) No

9. How would you rate Reliance's policies comparative to other players?
i) Better than other ii) No difference
iii) Worse than others

10. According to you, which type of is policy is best?
i) Long term ii) Short term

11. Which company's insurance policy, you have ?
i) LIC ii) Aviva
iii) Reliance iv) Any other

12. How much you have pay annual premium on insurance policies?
i) > 50,000 ii) 50, 000 to 1, 00,000
iii) < 1, 00,000

13. How would you rate Reliance's output?
i) Very good ii) Satisfactory
iii) Not good

14. How would you rate Insurance company's executives' service?
i) They impart knowledge ii) They irritate by pressurizing
iii) They provide service iv) Any other ..

15. Do you think that investing in insurance policies is better than bank investment?
i) Yes ii) No
iii) Can't say

16. Any suggestion for your insurance company?