bhuvaneshwar reporyt

7/29/2019 bhuvaneshwar reporyt

1/65

1

A

Project Study Report

ON

UNDERTAKEN AT

LIFE INSURANCE POLICIES IN MET LIFE

Conducted at

Metlife Insurance

(Submitted to the University of Rajasthan in the Partial fulfillment of

the degree of Bachelor of Business Administration)

Submitted To : Submitted By:

Rajasthan Univesity Bhuvaneshwar Sahariya

BBA Final Year

APEX INSTITUTE OF MANAGEMENT & SCIENCE, JAIPUR

Apex Institute of Management & Science, J aipur

(Approved by AICTE, New Delhi & Affiliated to University of Rajasthan)

(Session: 2011-13)


2/65

2

DECLARATION

I, Bhuvaneshwar Shariya , Student of BBA final year, declare that the

present worktitled Insurance Policies in Metlife Life Insurance is

an original work. I anywhere else for the award of any degree/ diploma/

certificate or for any prize have not submitted this project report. All the data

given in the report is to the best of my knowledge and all references whether

of any person or organization can be crosschecked.

(Bhuvaneshwar Shariya )


3/65

3

PREFACE

Summer Training has been accepted as an integral part of the Final Year of

Bachelor of Business Adminstration (BBA) as its objectives is let the student

theselves familiar with the working environment in an organization, deal

with at least understand and analyze them. This of course paves a road for

them where they have to lead later. Summer training also enables students to

trained themselves in applied knowledge over the theoretical learning. I feel

privileged for having undergone summer training at MET LIFE

INSURANCE CO. LTD. My training is the particular he enriched my

knowledge regarding Insurance industry.

The Project assigned to me was LIFE Insurance Policis in MetLIfe

Insurance Company



4/65

4

ACKNOWLEDGEMENT

It is great privilege for met to present his report of summer training at

Metlife Insurance Co. Ltd in partial fulfillment for the award of B.B.A.

Final Year.

I express my gratitude and offer my sincere thanks to Mr. Gopal

Tripathi (Sr. Sales Manager, Met Life Insurance Co. Ltd.), who has very

kindly guided in this project report.

I am indebted to Mrs. Jyotsana Khandelwal, my project supervisor

for their valuable guidance, co-operation, continuously motivative

commandments and he moral support which has necessary for successful

completion of my project.



5/65

5

INDEX

CHAPTER NO. PARTICULARS PAGE NO.

1 INTRODUCTION 6-15

2 COMPANY PROFILE 16-32

3 RESEARCH METHODOLOGY

Titels of the Study

Duration of the Project

Objective of Study

Type of Research

Sample Size and mehod of selecting sample

Scope of study Limitation of study

33-38

4 FACTS & FINDINGS 39-40

5 ANALYSIS AND INTERPRETATION 41-56

6 SWOT 57

7 CONCLUSING 59

8 RECOMMENDATION AND SUGGESTIONS 61

9 APPENDIX 63

10 BIBLOGRAPHY 65


6/65

6

INTRODUCTION - INSURANCE

The insurance sector was opened up in the year 1999 facilitating the entry of private

players into the industry. With an annual growth rate of 24.31 percent and the largest

number of life insurance policies in force, the potential of the Indian insurance industry is

huge. The year 1999 saw a revolution in the Indian insurance sector, as major structural

changes took place with the ending of Government monopoly and the passage of the

Insurance Regulatory and Development Authority (IRDA) Bill, lifting entry restrictionsfor private players and allowing foreign players to enter the market with some limits on

direct foreign ownership.

According to the CSO, the insurance and banking services contribution to the countrys

GDP is 7.1 percent out of which the gross premium collection forms a significant part.

Life insurance penetration in India was less than 1 percent till 1990-91. During the 90s,

it was between 1 and 2 percent and from 2001 it was over 2 percent. In 2003-04 it was

2.4 percent.

The impetus for increase is due to the active role played by IRDA in licensing private

players and taking positive steps in increasing the insurance awareness among the people.

Besides, the insurance companies in general and private insurance companies in

particular, are reaching out to untapped potential in rural areas with aggressive

campaigns.

Innovative products, smart marketing, and aggressive distribution have enabled fledglingprivate insurance companies to sign up Indian customers faster than anyone expected.

Life insurance is viewed as a tax saving device. People are now turning to the private

sector for providing them with new products and greater variety for their choice. The

improvement in FDI flows reflected the impact of recent initiatives aimed at creating an

enabling environment for FDI and for encouraging infusion of new technologies and


7/65

7

management practices. The Governments proposal to increase the FDI cap in the

insurance sector from the present 26 percent to 49 percent has raised expectations among

the international insurance companies.

InsuranceDefined:

Insurance is a contract in which sum of money is paid to the assured in consideration

of insurers incurring risk of paying a large sum upon a given contingency.

--

Justice Tindall

Insurance is a contract by which one party for a compensation called in the premium

assumes particular risks of the other party and promises to pay to him or his nominee acertain sum of money on a specified contingency.

--

E.W.Fitterson

Insurance may be described as social device whereby a large group of individuals,

through a system of equitable contribution, may reduce certain measurable risk of

economic loss common to all members of the group.

--

Encyclopedia Britannica

The above definitions clearly shows that insurance is a cooperative device to spread the

loss caused by a particular risk over a member of persons who are exposed to it and who

agree to insure themselves against risk. Insurance does not eliminate risk but only reduces

the financial burden, which may be very heavy.

Evolution of insurance

In the days of yore insurance was in its crude form and was cooperative and voluntary in

nature. When, where and how it originated is still a matter of research in one way or the

other was prevalent in olden days. We can trace its history from the evolution society


8/65

8

from hunting stage to the modern industrial age. A word YAGCHHEM occurs in the

worlds most ancient Hindu Scripture Rig Veda.

The word YAGCHHEM means insurance. It clearly indicated that about four thousand

years ago insurance was prevalent in its crude form. It was cooperative and voluntary in

nature. People formed different groups of organizations to share the loss among

themselves incase of a particular risk. Each member contributed some amount to a

common fund to meet the unforeseen losses. Sometimes they also contributed equally to

compensate person as and when he suffered a loss. Traces of insurance in the ancient

world are also found in the form of marino trade loans or carriers contracts which

included an element of insurance.

vidence is on records that arrangements embodying the idea of insurance were made in

Babylonia and India at quite an early period. References were made to the concept of

insurance in Manus code Manu Smrity. It was akin to Yagakshemo of Rigveda in

which the well being and security of the community was aimed at. However, there is no

evidence that insurance in its present farm was practiced prior to twelfth century.

The Nature Of Insurance

The insurance has the following characteristics which are observed in cases of life,

marine, fire and general insurance.

1. Sharing of risks: Insurance is a cooperative device to share the financial losses

which might befall on an individual or his facility on the occurrence of specified

event such as sudden death of the bread winner, marine perils in marine

insurance, fire in the fire insurance and theft insurance etc. in the case of general

insurance.

2. It isa cooperative device: A large number of persons agree to share the loss

arising sue to a particular risk. Thus, insurance is a cooperative device.

3. Value of risk: The risk is evaluated before insuring to charge the amount of

share called premium.


9/65

9

4. Payment made at contingency: The payment is made at a certain contingency

insured. The Contingency may be death, fire, marine perils etc.

5. Amount of payment: The amount of payment depends upon policy insured.

Functions of Insurance

A) Primary Functions

1. Insurance provides certainty: Insurance provide certainty of payments at the

uncertainty of losses. The element of uncertainty is reduced by better planning and

administration.

2. Insurance provides protection. The risk will occur or not, when will occur and how

much loss will be there. There are uncertainties of happening of time and amount of

losses. The main function of the insurance is to provide protection against the losses.

3. Risk sharing: Risk is uncertain and therefore, the loss arising from the risk is also

uncertain. All business concern faces the problem of the risk and if the concern is big

enough the handling of risk becomes a specialized function. Insurance, as a device is theoutcome of the existence of various risks in our day to day life. It spreads the whole

losses over a large number of persons who are exposed by a particular risk.

B. Secondary Functions

1. Prevention of loss: Prevention is always better than cure. Prevention is by far the best

solution to the problem of risk. It is more effective and cheapest method to avoid the

unfortunate consequence. But sometimes prevention is not always possible and Effective.

2. It provides capital: It provides the capital to the society. For plan development of

country there is a great need for huge amount of capital. Now days, the insurance

companies are rendering positive help in the development of trade, commerce and

industry of the country.


10/65

10

3. It improves efficiency: Achievement of goals, it improves not only his

efficiency of the masses is also advanced. The insurance eliminates worries and

miseries of losses as death and destruction of property care free person can

devote his energies for better.

4. It ensures the welfare of society: Insurance is a saga of service and security to

thee society. Security of the life and property given by insurance bring peace of

mind to the insured. The investment in LIC in welfare schemes like electricity,

housing, water supply, agro industry estates are able to solve many problems in

India.

5. It helps in economic progress: Insurance provides an initiative to work hard for

the betterment of the masses. Life insurance involves the element of saving

investment through small savings. And which has been growing in recent yrs at

an annual rate of about Rs. 400 crs, life insurance is not a mere business

organization, it has nobler welfare responsibilities in the development of the

economy.


11/65

11

LIFE INSURANCE

Definition

The life insurance contract embodies an agreement in which broadly stated, the insurer

undertakes to pay a stipulated sum upon the death of the insurer to a designated

beneficiary. --

J.H.MAGEE

Life insurance contract may be defined whereby the insurer, in consideration of premium

paid either in lumpsum installments, undertakes to pay an annuity on the death of the

insured of a certain number of years.

--

R.S.SHARMA

A contract of life assurance is that in which one party agrees to pay a given sum on the

happening of a particular event contingent upon the duration of human life in

consideration of immediate payment of a smaller sum by another. BUNYONS LAW OF

LIFE INSURANCE

Some outstanding advantages of life insurance

1.) It is superior to an ordinary saving plan: this is so because unlike other saving plans, it

offers full protection against risk of death.

2.) Insurance encourages and enforces thrift : many people may not have the will powerto continue a long term saving plan which they may formulate regular payments in face

of money other uses to which their limited income could be put.


12/65

12

3.) Easy installments and protections against creditors: the proceeds of a life insurance

policy can be protected against the claims of the creditors of life assured by affection a

valid assignment of the policies.

4.) Tax relief: the income tax act exempts from tax that part of an individuals income

which is devoted to payment of life insurance premium.

5.) Estate duty: life insurance is the most practicable way to ensure definite payment on

ones death without having resort to conversion of realizable asset at a loss.

Why Life Insurance?

Life Insurance has come a long way from the earlier days when it was originally

conceived as a risk covering medium for short periods of time, covering temporary risk

situations, such as sea voyages. As life insurance became more established, it was

realized what a useful tool it was for a number of situations, including -

a) Temporary needs / threats: The original purpose of life insurance remains an

important element, namely providing for replacement of income on death etc.

b) Regular Savings: Providing for one's family and oneself, as a medium to long term

exercise (through a series of regular payment of premiums). This has become more

relevant in recent times as people seek financial independence for their family.

c) Investment: Put simply, the building up of savings while safeguarding it from the

ravages of inflation. Unlike regular saving products, investment products are traditionally

lump sum investments, where the individual makes a one off payment.

d) Retirement: Provision for later years becomes increasingly necessary, especially in a

changing cultural and social environment. One can buy a suitable insurance policy, which

will provide periodical payments in one's old age.


13/65

13

Let us take an example to understand the need for insurance:

Mr. Pranay is 45 years of age and self-employed. His wife Nandini, who is a housewife,

looks after their two children aged 3 and 7 years.

They stay in a rented accommodation, where the rent is 15,000 rupees per month. Mr.

Atul has taken up a loan of Rs. 2 lakh. His monthly earnings on average are 40,000

rupees. Mr. Atul passes away in an unfortunate road accident. What are some of the

financial implications of his death on his family? There may be several financial

implications on his family. Some of these are:

a) The monthly income, previously provided by Mr. Atul would stop.

b) His wife and children may have to seek financial assistance from other relatives.

c) His wife may not have enough money to pay back the loan of Rs. 2 lakhs.

d) The family may have to move into a cheaper accommodation.

e) His widow may have to take up work to earn money.

f) The education of his children may suffer.

This simple example illustrates the impact premature death can have on a family, where

the main earner has no life cover. Had Mr. Atul taken life cover, his family would not

have faced such hardships in the event of his unfortunate death. A simple life insurance

policy could have provided Mr. Atul's family with a lump sum that could have been

invested to provide an income equal to all or part of his income.

In simple words, insurance protects against untimely losses. Insurance has been found

useful in the lives of persons both in the short term and long term. Short term needs like

sudden medical costs and long term needs like marriage expenses etc can be met with

using life insurance.


14/65

14

INSURANCE INDUSTRY

India Insurance Industry: - New Avenues For Growth

With an annual growth rate of 15-20% and the largest number of life insurance policies in

force, the potential of the Indian insurance industry is huge. Total value of the Indian

insurance market (2004-05) is estimated at Rs.450 billion (US$10 billion). According to

government sources, the insurance and banking services contribution to the country's

gross domestic product (GDP) is 7% out of which the gross premium collection forms a

significant part.

The funds available with the state-owned Life Insurance Corporation (LIC) for

investments are 8% of GDP. Till date, only 20% of the total insurable population of India

is covered under various life insurance schemes, the penetration rates of health and other

non-life insurances in India is also well below the international level. These facts indicate

the of immense growth potential of the insurance sector.

The year 1999 saw a revolution in the Indian insurance sector, as major structural

changes took place with the ending of government monopoly and the passage of the

Insurance Regulatory and Development Authority (IRDA) Bill, lifting all entry

restrictions for private players and allowing foreign players to enter the market with some

limits on direct foreign ownership.

Though, the existing rule says that a foreign partner can hold 26% equity in an insurance

company, a proposal to increase this limit to 49% is pending with the government. Since

opening up of the insurance sector in 1999, foreign investments of Rs. 8.7 billion have

poured into the Indian market and 21 private companies have been granted licenses.

Innovative products, smart marketing, and aggressive distribution have enabled fledgling

private insurance companies to sign up Indian customers faster than anyone expected.

Indians, who had always seen life insurance as a tax saving device, are now suddenly

turning to the private sector and snapping up the new innovative products on offer.


15/65

15

The life insurance industry in India grew by an impressive 36%, with premium income

from new business at Rs. 253.43 billion during the fiscal year 2004-2005, braving stiff

competition from private insurers. RNCOSs report, Indian Insurance Industry: New

Avenues for Growth 2012, finds that the market share of the state behemoth, LIC, has

clocked 21.87% growth in business at Rs.197.86 billion by selling 2.4 billion new

policies in 2004-05. But this was still not enough to arrest the fall in its market share, as

private players grew by 129% to mop up Rs. 55.57 billion in 2004-05 from Rs. 24.29

billion in 2003-04.

Though the total volume of LIC's business increased in the last fiscal year (2004-2005)

compared to the previous one, its market share came down from 87.04 to 78.07%. The 14

private insurers increased their market share from about 13% to about 22% in a year's

time. The figures for the first two months of the fiscal year 2005-06 also speak of the

growing share of the private insurers. The share of LIC for this period has further come

down to 75 percent, while the private players have grabbed over 24 percent.

There are presently 12 general insurance companies with four public sector companies

and eight private insurers. According to estimates, private insurance companies

collectively have a 10% share of the non-life insurance market.

Though the focus of this market research report is on the potential growth on the Indian

Insurance Sector, it also talks about the market size, market segmentation, and key

developments in the market after 1999. The report gives an instant overview of the Indian

non-life insurance market, and covers fire, marine, and other non-life insurance. The data

is supplied in both graphical and tabular format for ease of interpretation and analysis.

This report also provides company profiles of the major private insurance companies.


16/65

16

Report Highlights:

Gains of Liberalization in Indian Insurance Sector

Indian Insurance Market Segmentation By Products

Size of the Market and Market Share Of Life Insurers, In INR (crore)

Market Share Of Non-Life Insurers

Forecast of Life Insurance Growth Up to 2012

Forecast of Non-Life Insurance Growth Up to 2012

Market Revenue of Both Public and Private Insurers

Policies and Measures Taken By IRDA To Develop The Insurance Market

Research and Development Activities

Regulation of insurance and reinsurance companies

Major Challenges That Indian Insurance Sector is Facing

Profiles of the Major Players


17/65

17

COMPANY PROFILE

METLIFE

With over 137 years of experience, the MetLife companies serve millions of

customers in the Americas and Asia with one goal in mind - to build financial

freedom for everyone . The MetLife companies are a leader in group benefits that

serve 88 of the top one hundred FORTUNE 500R* companies, and provide

benefits to 37 million employees and family members through its plans sponsors

in the U.S. The MetLife companies are also ranked # 1 in group life and # 1 in

commercial dental in the U.S. The MetLife companies are the number one life

insurer in the U.S. with approximately US $2.8 trillion of life insurance in force.

In India MetLife was incorporated in 2001 , and aims to differentiate itself

through customizes need based selling, simple and innovative products, and

technology- backed service experience, to tread its path to build financial freedom

for everyone .

MISSION / VISION / VALUES

Our Vision and Mission

Build financial freedom for all through leadership in providing financial advice

and building long-term relationships through innovative protection accumulation

and retirement products, robust underwriting processes and creating world-class

customer service experience for our Customers. We want to provide customers in

India with world-class solutions for financial security , and in the process add

significant value to our shareholders, associates and society.

Our Core Values

1. We lead through Innovation to offer world class and competitive products

to our customers.


18/65

18

2. We build Long Term Relationships with our customers by creating a world

class service experience through operational excellence and the innovative

use of technology.

3. We create a Customer Centered and Result Focused Vision that inspires each

one of our Associates and has their buy-in

4. We are committed to creating a High Performance Organization by creating

an environment that allows each one of our associates to perform at their

peak. As a result we will also be recognized as an Employer of Choice.

5. We are committed to Partnering with our internal and external Customers for

mutual success.

6. We work with integrity, fairness and financial prudence in all our dealings

keeping the interests of our Shareholders, Customers and Associates paramount .

CORPORATE PARTNERS

As the vital channel for MetLifes products, we have chosen some

exemplary banks and financial institutions. These will serve as the interface

between our customers and us to aid us understand the unique needs and

aspirations of every Indian. And update our products

with features that form the cornerstones of financial freedom.

1. J & K BANK

2. AXIS Bank

3. DHANALAKSHMI BANK

4. KARNATAKA BANK

5. OTHER PARTNERS

MANAGEMENT OF THE ORGANISATION

1. KR ANIL KUMAR:

Chief-Planning and Financial Controller

2. KS RAGHAVAN:


19/65

19

Director, Information Technology

3. SAMEER BANSAL:

Deputy Director, Banc assurance & Business Partnership

4. PANKAJ RAJ:

Dupty Director, Marketing

5. VIJAY RAGHAVAN:

Deputy Director, Strategic Initiatives & Business Transformation

6. GAURAV SHARMA:

Deputy Director , Operations

Role of Met Life India

Strong parental support Met life India benefits from itsparent Companys

global presence in the field of insurance, track record of Establishing successful

insurance operations in emerging markets And the unique strengths of its other Indian

promoters. Strong Parents support has enabled MetLife to quickly launch innovative

products customized Specifically for India markets. For example, MetLife India has

Launched Met Ultimate , a universal life insurance policy that Combines elements of

protection and accumulation simultaneously and provides ready access to the

accumulated cash value. Using technology as business enabler MetLife India has

translated all its underwriting rules into a software module, Aura, to automatically

process an insurance proposal and issue the policy, both in medical and non-medical

cases.

The module ensures quick turnaround time, in addition to Consistency and

accuracy of decisions Focus on technology and Significant investments in training its

sales-force have also helped MetLife in maintaining high standards of customer service.

This in Turn has led to MetLife having one of the highest persistency rationsIn the Indian

industry


20/65

20

LIFE INSURANCE PRODUCTS OF MET LIFE

INSURANCE PLANS OFFERED BY MET LIFE

MetLife provides, tailor made solutions to suit Individual needs, such That when youre

looking to protect those closest to you, in terms of planning your childs

education, seeking retirement solutions or are simply looking ahead for a worry

free financial future, we provide you with best products and services. Life

Insurance is the cornerstone of your familys financial security . It protects your

financial resources against the uncertainties of life so you can protect your

familys future .

Our Solutions

What is financial freedom ? Its all about living the kind of life you really want to live

without worrying about the future . True financial freedom arises form identifying

your financial capabilities, setting realistic goals based on your aspirations and

achieving them through a comprehensive plan . Most importantly while you set

out to draw up a financial plan , you need to understand that it isnt a one-time

plan. Whats good for you today, might not be next year. So, the planning that

goes into attaining your financial freedom should be dynamic


21/65

21

Cornerstones of financial security

Product Details

No one can give you all the answers it comes to dealing with lifes ups

and downs. But we can certainly equip you to deal with life better. Please find

below the various products offered by MetLife to suit your specific need:

Protection

Ensure that yourObligations

Are met in theEvent of

Death or disability

Multi purposeFor your

charging needin life

AccumulationDevelop a sound

lan to assist you

in playing forchildrens Education

Marriage Expenses and

Buying a home

RetirementProvide

AdditionalIncome to

Supplement

Existing savings & Investments


22/65

22

Products List as follows:-

Life Products

Group Term Life Products

Offer your employees a fundamental part of their overall benefits program with basic,

supplemental, and dependent term life insurance products to protect themselves and those

they love.

Group Permanent Life1 Products

Some employees may need a different type of protection to support their insurance and

estate tax-planning needs. Permanent Life insurance can provide the right solution for

highly compensated employees and the broader based population.

Group Variable Universal Life (GVUL) combines life insurance protection with a tax-

advantaged investment option for employees.

Group Universal Life (GUL) offers life insurance protection while allowing employees to

build cash value for the future by contributing additional premiums into a tax-

advantaged, interest bearing account.

Group Accidental Death & Dismemberment

MetLife offers a variety of AD&D productsbasic, supplemental, dependent and

voluntarythat provide valuable insurance protection, as well as living benefits that

your employees can take advantage of today.

Business Travel Accident Insurance

Provide customized, cost-effective solutions that help protect employees when they travel

for business, both domestically and internationally


23/65

23

Group Term Life Insurance

MetLifes Group Term Life insurance is a core part of a robust benefits package,

providing essential protection to employees.

Term Life provides a work-based Group Life insurance foundation that offers employees

and their dependents cost-effective financial protection in their time of need.

Basic Term Life

A core employer-paid benefit that helps meet a portion of a familys income needs in the

event of a premature death it offers flexible options to choose from, including flat

benefit amounts or multiples of pay.

Supplemental Term Life

Additional employee-paid benefit that offers flexible plan designs and innovative tools to

help employees select the right amount of life insurance to meet their needs.

Dependent Term Life

Group Term Life insurance for spouses, domestic partners and eligible children that

employees can purchase at group rates.

Add Value with Plan Enhancements

From assistance for beneficiaries, to living benefits that your employees can take

advantage of today, MetLifes value-added features and can enhancements enrich an

employers Group Life programwithout impacting the employers bottom line.

Expand All

Portability1

Will Preparation2

The Accelerated Benefits Option (ABO)3


24/65

24

MetLife Estate Resolution ServicesSM, 2

Total Control Account (TCA)4

MetLife Advice for BeneficiariesDelivering the Promise

Waiver of Premium

Funeral Planning Guide

Like most group life insurance policies, MetLife group policies contain certain

exclusions, limitations, and reductions of benefits and terms for keeping them in force.

Please contact us for costs and complete details.

1 Portability is subject to state availability and plan provisions.

2 Will Preparation services and MetLife Estate Resolution Services are offered by Hyatt

Legal Plans, Inc., Cleveland, Ohio. In certain states, legal services benefits are provided

through insurance coverage underwritten by Metropolitan Property and Casualty

Insurance Company and Affiliates, Warwick, Rhode Island. Will Preparation services

and MetLife Estate Resolution Services are subject to regulatory approval and are not

available in all states. In certain states, Estate Resolution Services cannot be made

available to residents without that states approval. MetLife Estate Resolution Services is

available for customers with over 500 eligible employees, subject to state approval and

regulation.

3 The Accelerated Benefits Option (ABO) is subject to state regulation and generally

receives favorable federal income tax treatment. You are advised to consult with an

independent tax advisor about your own circumstances. You are advised to consult with a

legal advisor concerning the effect that receipt of ABO benefits will have on other

benefits such as benefits from public assistance programs.

4 Subject to state requirements.

Group Term Life is issued by Metropolitan Life Insurance Company, 200 Park Ave.,

New York, NY 10166. Policy Form GPNP99


25/65

25

Group Variable Universal Life Insurance

MetLifes Group Variable Universal Life (GVUL) insurance can help meet the diverse

needs of todays employees

GVUL provides portable, permanent life1 insurance for employees and their families,

with features to help protect financial assets and build savings for future needs, including

retirement.

With Group Variable Universal Life (GVUL) from MetLife, you can optimize the value

of your coverage without adding significant cost.

Provide Tax-Advantaged Investment Opportunities

GVUL combines life insurance protection with tax-advantaged investment options for

employees. Plan participants can:

Supplement their 401(k) or other qualified savings plans.

Invest additional premiums into variable investment portfolios managed by recognizedmoney mangers.2

Invest in an interest-bearing account with a guaranteed minimum rate.3

Benefit from earnings growth, generally tax-deferred, on their contributions.

Access cash value before age 59, without penalty or surrender charges.4

Added Value With Innovative Services

Will Preparation5: Participants and spouses can receive will preparation services through

Hyatt Legal Plans nationwide network of more than 10,000 participating attorneys.


26/65

26

MetLife Estate Resolution ServicesSM, 5: Allows the executor or administrator of the

estate access to personal legal advice and consultation when settling the insureds will

and estate.

1 To age 95. In some program designs, if the employer replaces the MetLife GVUL with

group life insurance from another insurer or otherwise terminates the MetLife GVUL

group contract, employees' MetLife GVUL coverage may also be terminated, even after

separation from employment or in retirement.

2 Participation should be based on an employees tolerance for risk.

3 Product guarantees are subject to the financial strength and claims-paying ability of

Metropolitan Life Insurance Company.

4 Withdrawals and loans reduce cash value and death benefit. In general, if the funding of

the certificate exceeds certain limits, it will become a modified endowment

contract(MEC) and become subject to earnings first taxation on withdrawals and

loans. An additional 10% penalty for withdrawals and loans taken before age 59 will

also generally apply. We will notify the employee contribution would cause his or her

certificate to become an MEC.

5 Will Preparation and MetLife Estate Resolution ServicesSM are offered by Hyatt Legal

Plans, Inc., Cleveland, Ohio, a MetLife company. In certain states, legal services benefits

are provided through insurance coverage underwritten by Metropolitan Property and

Casualty Insurance Company and Affiliates, Warwick, Rhode Island, a MetLife

company. In certain states, Will Preparation and MetLife Estate Resolution Services are

subject to regulatory approval and are not currently available. In certain states, Estate

Resolution Services cannot be made available to residents without that states approval.

MetLife Estate Resolution Services is available for customers with over 500 eligible

employees, subject to state approval and regulation.


exclusions, reductions, limitations, and terms for keeping them in force. Please contact us

for costs and complete details.

The information contained in this communication is not intended to (and cannot) be used

by anyone to avoid IRS penalties. This communication supports the promotion and


27/65

27

marketing of GVUL. Employees should seek tax advice based on their particular

circumstances from an independent tax advisor.

Prospectuses for Group Variable Universal Life insurance and its underlying portfolios

can be obtained by calling (800) 685-0124. You should carefully consider the

information in the prospectuses about the contracts features, risks, charges and expenses,

and the investment objectives, risks and policies of the underlying portfolios. Please read

the prospectuses and consider this information carefully before investing. Product

availability and features may vary by state. All product guarantees are subject to the

financial strength and claims-paying ability of Metropolitan Life Insurance Company.

The amounts allocated to the variable investment options of an insureds account balance

are subject to market fluctuations so that, when withdrawn or surrendered it may be

worth more or less than its original value.

Group Variable Universal Life insurance is issued by Metropolitan Life Insurance

Company (MLIC), New York, NY 10166 and is distributed by MetLife Investors

Distribution Company (MLIDC) (member FINRA), Irvine, CA. 92614. Securities

products offered through MetLife Securities, Inc. (MSI) (member FINRA/SIPC). MLIC,

MLIDC and MSI are MetLife companies. MetLifes standard certificate forms, available

on or after 5/1/09 include: Certificate Forms G.24300(2003); G.24300A(2003); NY-

G.24300-STOCK and G.24300A-STOCK. Coverage may also be provided on MetLifes

previous standard Policy Forms 30037(6/96); FL-3003709(5/2005); IN-3003713(6/96);

MA-3003720(6/96); MD-3003719(6/96); MN-3003722(6/96); MS-3003723(5/2005);

NE-3003726(6/96); NY-3003731(5/2005); OK-3003735(6/96); OR-3003736(5/2005);

PA- 3003737(6/96); SC-3003739(6/96); SD-3003740(6/96); and TX-3003772(5/2005).


28/65

28

Group Universal Life Insurance

MetLifes Group Universal Life (GUL) is an easy-to-administer insurance program that

helps protect your employees future.

GUL is portable, permanent life1 insurance for employees and their families that includes

features to help protect financial assets and build savings for future needs, including

retirement.

Provide Flexible Financial Solutions to Your Employees

GUL offers life insurance protection while allowing employees to participate in the Cash

Funda way to build cash value for the future by contributing additional premiums into

a tax-deferred, interest-bearing account. The Cash Fund offers:

A fixed rate of return guaranteed never to fall below a certain minimum.2

The ability to save for future expenses and the option to purchase paid-up life insurance,

or an annuity at retirement.

Added Value With Innovative ServicesWill Preparation3: Participants and spouses can receive will preparation services through

Hyatt Legal Plans nationwide network of more than 10,000 participating attorneys.

MetLife Estate Resolution ServicesSM, 3: Allows the executor or administrator of the

estate access to personal legal advice and consultation when settling the insureds will

and estate.

1 To age 95. In some program designs, if the employer replaces the MetLife GVUL with

group life insurance from another employer or otherwise terminates the MetLife GVUL

group contract, employees' MetLife GVUL coverage may also be terminated, even after

separation from employment or in retirement.

2 Product guarantees are subject to the financial strength and claims-paying ability of

Metropolitan Life Insurance Company.


29/65

29

3 Will Preparation and MetLife Estate Resolution ServicesSM are offered by Hyatt Legal

Plans, Inc., Cleveland, Ohio, a MetLife company. In certain states, legal services benefits

are provided through insurance coverage underwritten by Metropolitan Property and

Casualty Insurance Company and Affiliates, Warwick, Rhode Island, a MetLife

company. In certain states, Will Preparation and MetLife Estate Resolution Services are

subject to regulatory approval and are not currently available. In certain states, Estate

Resolution Services cannot be made available to residents without that states approval.

MetLife Estate Resolution Services is available for customers with over 500 eligible

employees, subject to state approval and regulation.

GUL is issued by Metropolitan Life Insurance Company, New York, NY 10166. Policy

Form No. G2130_S /GPN99.


exclusions, reductions, limitations, and terms for keeping them in force. Please contact us

for costs and complete details

Group Accidental Death & Dismemberment (AD&D)

MetLifes Group AD&D coverage can be a low cost part of company provided basic

coverage, an employee paid option, or both

Employees are looking for benefits that go beyond life insurance. MetLifes AD&D

coverage pays for a covered accident that results in a loss of life, speech, hearing or sight,

paralysis and other losses.

Expand All

Basic Accidental Death & Dismemberment (AD&D)

Supplemental Accidental Death & Dismemberment

Dependent Accidental Death & Dismemberment


30/65

30

Voluntary Accidental Death & Dismemberment Insurance

Added Value with Travel Assistance1

And Identity Theft Solutions1

AD&D Coverage can be enhanced with Additional Benefits

Like most group insurance policies, MetLife group insurance policies contain certain

exceptions, reductions, limitations and terms for keeping them in force. Please contact us

for costs and complete details.

1 Travel Assistance services are administered by AXA Assistance USA, Inc. Certain

benefits provided under the Travel Assistance program are underwritten by ACE

American Insurance Company. AXA Assistance USA, Inc. and ACE American Insurance

Company are not affiliated with MetLife, and the Travel Assistance & Identity Theft

Solutions services they provide are separate and apart from the insurance provided by

MetLife.

AD&D coverage are provided under a group insurance policy (Policy Form GPNP99)

issued to the group policyholder by MetLife.

Business Travel Accident Insurance

MetLifes Business Travel Accident Insurance1 protects employees when traveling on

company business.

MetLifes Business Travel Accident Insurance (BTA) is employer-paid coverage that

pays an additional benefit for covered accidents resulting in death or serious injury of

employees who are traveling on company business, both domestically and internationally.


31/65

31

Expand All

A Comprehensive Solution for You and Your Employees

The Convenience of Consolidation

Added Value with Travel Assistance3

And further assistance with Identity Theft Solutions3

1 Coverage is available for companies with at least 200 eligible lives and $1,000 in

"annual" premium.

2 Non-employee coverage is subject to state availability.

3 Travel Assistance services are administered by AXA Assistance USA, Inc. Certain

benefits provided under the Travel Assistance program are underwritten by ACE

American Insurance Company. AXA Assistance USA, Inc. and ACE American Insurance

Company are not affiliated with MetLife, and the Travel Assistance & Identity Theft

Solutions services they provide are separate and apart from the insurance provided by

MetLife.Like most group life insurance policies, MetLife group policies contain certain

exclusions, reductions, limitations and terms for keeping them in force. Please contact us

for costs and complete details


32/65

32

INSURANCE ADVISOR & LICENSING

About Insurance Advisor :

With multiple players in the life insurance field now , a choice should be first

made regarding the insurance company before choosing an advisor. To determine

a companys willingness to pay claims, ask a policyholder who has filed several

claims. Obviously, the more claims an insurer has handled with no complaints,

the more likely that the company will provide you with good service.

Barring LIC the remaining players in life insurance ate still new in the field, so this

kind of information will not be available for another few years at the least. It remains to

be seen how the newer players will perform on the claims front, but given the regulatory

framework and their strong parentage, their performance should be comparable, if not

better than LIC.

It is quite imperative that your insurance agent be competent and professional enough

to clearly understand your insurance requirements and suggest a suitable scheme. Also,

with insurance companies offering varying rate of commissions on different schemes,

there is a likelihood that a not-so-professional agent, maybe tempted to recommend a

scheme which pays him a higher commission, though it may not be very suitable for your

needs.

This is especially so in the case of LIC, sole provider of life insurance in our country

till recently, where the eligibility criteria are not very rigorous and very often the level of

knowledge and competence of the agents leaves a lot to be desired. The new players seem

to be much more stringent in appointing agents and more committed in providing training

to them. In todays context, especially in case of LIC, it may be advisable to go in for an

agent who comes recommended from one of your friends, relatives or associates.


33/65

33

Further, the agent should be able to provide you with a comparison of multiple schemes

and also explain them in simple terms, so that you are able to make an informed decision.

In case an agent is not inclined to spend the time and resources to provide you with

relevant information and solve your queries, it may be better to give a go-by to such a

person and start looking for a new agent. The market is becoming increasingly

competitive and it should not be a difficult task to find a good agent.

Working Conditions

Most insurance sales agent are based in small offices, from which they contact

clients and provide information on the policies they sell. However, much of their time

may be spent outside their offices, traveling locally to meet with clients, close sales, orinvestigate claims. Agents usually determine their own hours of work and often

schedule evening and weekend appointments for the convenience of clients.

Although most agents work a 40-hour week, some work 60 hours a week or longer.

Commercial sales agents, in particular, may meet with clients during business hours and

then spend evenings doing paperwork and preparing presentations to prospective clients.

Employment

Insurance sales agents held about 11,00,000 jobs in 2005. although most insurance agents

specialize in life or general insurance, a growing numberof multi--line agent sell all

lines of insurance.

Trading, Other Qualification, And Advancement

For insurance sell agents jobs, most companies and independent agencies prefer to hire

college graduate especially those who have majored in business and economics. High

school graduate are occasionally hired if they have proven sales ability or have been

successful in other types of work. In fact, many entrants to insurance sales agent jobs


34/65

34

transfer from other occupations. In selling commercial insurance, technical experience in

a particular field can help sell policies to those in the same profession.

As result, new agents tend to be older than entrance in many other occupations. College

training may help agents grasp the technical aspects of insurance policies and the

fundamentals and producers of selling insurance.

Many college and universities offer courses in insurance, and a few schools offer a

bachelors degree in the field. college course in finance, mathematics, accounting,

economics, business law, marketing, and business administration enable insurance sales

agents to understand how social and economics conditions relate to the insurance

industry.

Courses in psychology, sociology, and public spiking can prove useful in improving salestechniques. In addition, because computers provide instantaneous information on a wide

variety of financial product and greatly improve agents efficiency, familiarity with

computers and popular software packages has become very important.

Insurance sales agents must obtain a license in from IRDA. Separate licenses are

required for agents to sell life and general insurance. Licenses are issued only to

application who complete specified pre-licensing courses and who pass IRDA

examinations covering insurance fundamentals and insurance laws.

A number of organization offer professional designation programs that certify ones

expertise and specialties such as life, health, and general insurance, as well as financial

consulting. Although voluntary, such programs assure clients and employers that an

agents has a through understanding of the relevant specialty. Agents are usually required

to complete a specified number of hours of continuing education to retain their

designation.

Employers also are placing greater emphasis on continuing professional education as

the diversity of fantail product sold by insurance agents increases. It is important for

insurance agents to keep up to date on issues concerning clients.


35/65

35

Changes in tax laws, government benefits programs, and other State and Central

Government regulations can affect the insurance needs ofclients and the way in which

agents conduct business.

Agents can enhance their selling skills and broaden their knowledge of insurance and

other financial service by taking courses at collages and universities and by attending

institutes, conferences, and seminars sponsored by insurance organizations IRDA also

has mandatory continuing education requirements focusing on insurance laws, consumer

protection, and the technical detail of various insurance policies.

Insurance sales agents should be flexible, enthusiastic, confident, disciplined, hard

working and willing to solve problems. They should communicate effectively and inspire

customer confidence. Because they usually work without supervision, sale agents much

be able to plan their time well and have the initiative to locate new clients. An insurance

sales agent who shows ability and leadership may become a Development Officer in a

Branch Manager (Sale) and higher marketing positions. However, many who have build

up a good cliental prefer to remain in sales work.

LICENSING PRE-REQUISITES OF AGENTS:-

All agents, in order to obtain a license, have to go through a training program

and appear for an examination to be conducted by the IRDA. The following is

the text of Agents course for Life as well as Non-life .

Duration :-

4 weeks (Designed to prepare individuals to pass Insurance Agent licensing

examinations)

Purpose :-

The syllabus, is designed for practical training for Life Insurance Agents, as

specified in Licencing of Insurance Agents Regulations (herein after called Agents

Regulations). It provides a foundation of knowledge, and concepts upon which an

individual can build a successful career as a Life insurance agent.


36/65

36

General Licensing Requirements :

Proof of all these have to be provided to the authority before registration as an

agent .

Section 42(4) of the amended Insurance Act, 1938 states that a person taking

license to act as an insurance agent shall be one who is not .

1. A minor

2. Found to be of unsound mind by a court of competent jurisdiction

3. Found guilty of criminal misappropriation or criminal breach of trust or

cheating or forgery or an abetment of or attempt to commit such offence by a

court of competent jurisdiction4. Found guilty of having knowingly participated in or connived at any fraud,

dishonesty or misrepresentation against an insurer or an insured .

AND WHO :

1. possesses the minimum qualification of a pass in 12th standard (10th standard

for rural agents)

2. shall have completed from an approved institution (An Agents Training Institution

approved by the Insurance Regulatory and Development Authority ) at least 100 training

hours spread over to three to four weeks and (period of training can be reduced under

certain circumstances Please see the Agents Regulation).

3. has a pass in the prerecruitment examination conducted by the Insurance Institute of

India ,Mumbai , or any other approved examination body. The expectation of the agency

system are :

Good service and advice: Agent should offer consumers good service by responding to

customers needs in terms of grant of cover , advice, conduct , act .

Good conduct: Agent should be willing to promote products in personal lines market

making the best use of their professional ability


37/65

37

THE PURPOSE OF TRAINING AN AGENT IS TO:

1. impart him (her) complete knowledge of products ,

2. imbibe in him (her) the importance of preandpost sale service to customers ,

3. equip him (her) as a trusted professional capable of advising

persons on Insurance

4. make him (her) as an efficient salesperson ;

5. enable him (her) to master various techniques in the area of sale

of insurance products ;

6. instill in him (her) an ethical code which will inform all his (her) dealing.

TRAINING SCHEDULE AND STRUCTURE

1. Practical Training Methodology The classroom training may be by means of

lectures, discussions, speeches seminars, question answer sessions, case studies,

role playing , exchange of experiences, team training, replication of real life

situation in the classroom, open house, selfstudy, etc .

The use of various audio-visual devices while taking the lectures like slides,

overhead projectors, computers, markers, Etc . may be encouraged

The training institute may ask the faculty to give handouts / written material on

the proposed lecture to the participants in advance .

The training institute will arrange to supply every agent an agents manual, service

manual, list of all the products available in the market, a handbook containing

specimen copies of proposal form policy form, claim form, etc . from the

insurance company who has nominated the agent for the training course.

2. Examinations for Agents :

A. All agents on completion of their training will have to appear in a

written examination .

B. The exam will consist of objective type questions only.

C. The exam will be of maximum 100 marks .


38/65

38

D. The time for examination will be 2 hours .

E. 10 % of Questions will be numerical .

F. This will be followed by an interview of 25 marks,

conducted by the insurance company .

G. Every agent will have to score atleast 50 % marks

in the written exam and 60 % in the interview for

qualifying in the agents examination and for

award of a certificate .

3. Practical Training :-

A. Every person aspiring to take up agency as a career will have to undergo

on the job practical training with the designated company where he will

work under the supervision of a sales functionary .

B. The sales functionary will teach the trainee the nuances of creating the

heed in the mind of the customer , understanding satisfying the want and

finally helping him decide the best option and closing the deal .

C. In addition administrative matters , documentation , etc. will

also be taught to the trainee .

Recruitment Process

The recruitment and selection is the major function of the human resource

department and recruitment process is the first step towards creating the competitive

strength and the strategic advantage for the organizations. Recruitment process involves a

systematic procedure from sourcing the candidates to arranging and conducting the

interviews and requires many resources and time. A general recruitment process is as

follows:

1. Identifying the vacancy-The recruitment process begins with the human resource

department receiving requisitions for recruitment from any department of the

company. These contain:

Posts to be filled

Number of persons


39/65

39

Duties to be performed

Qualifications required

Preparing the job description and person specification.

Locating and developing the sources of required number and type of

employees (Advertising etc).

Short-listing and identifying the prospective employee with required

characteristics.

Arranging the interviews with the selected candidates.

Conducting the interview and decision making

2. Prepare job description and person specification

3. Advertising the vacancy

4. Managing the response

5. Short-listing

6. Arrange interviews

7. Conducting interview and decision making

The recruitment process is immediately followed by the selection process i.e. the

final interviews and the decision making, conveying the decision and the appointment

formalities.


40/65

40

The recruitment procedure of life insurance is very easy. A person with high

educating and well experience can be recruited after a personal interview and group

discussion. After the training program is completed the Insurance Agent has to appear for

the pre-examination conducted by IRDA. As he clear the exam he provides a license,

which is the proof of a legalized insurance Agent, which permits him to deal in his

insurance business.

Steps in recruitment of Insurance Agents

Approach to the likely person

Appointment as per condition

Discuss the topic

Give the documents which includes:-

1. Prospectus of the company

2. Brochure

3. Companys plan

4. Questionnaire

Collect the document after its completion

Forward it to project manager

Feed it in the computer as the database

Follow up as per conditions

Modes of Contact

Personal Contacts

References

Phone Calls

Guidance as per Unit Manager

E-Recruitment

Many big life insurance organizations use Internet as a source of recruitment. E-

Recruitment is the use of technology to assist the recruitment process. They advertise job

vacancies through worldwide web. The job seekers send their applications or curriculum


41/65

41

vitae i.e. CV through e mail using the Internet. Alternatively job seekers place their CVs

in worldwide web, which can be drawn by prospective employees depending upon their

requirements.

Advantages of e-recruitment are:

Low cost.

No intermediaries

Reduction in time for recruitment.

Recruitment of right type of people.

Efficiency of recruitment process.

The buzzword and the latest trends in recruitment is the E-Recruitment. Also

known as Online recruitment, it is the use of technology or the webbased tools to assist

the recruitment process. The tool can be either a job website like naukri.com, the

organizations corporate web site or its own intranet. Many big and small organizations

are using Internet as a source of recruitment. They advertise job vacancies through

worldwide web. The job seekers send their applications or curriculum vitae (CV) through

an e-mail using the Internet. Alternatively job seekers place their CVs in worldwide

web, which can be drawn by prospective employees depending upon their requirements.The two kinds of e- recruitment that an organization can use is

Job portals i.e. posting the position with the job description and the job

specification on the job portal and also searching for the suitable resumes posted

on the site corresponding to the opening in the organization.

Creating a complete online recruitment/application section in the companys own

website. Companies have added an application system to its website, where the

passive job seekers can submit their resumes into the database of the

organization for consideration in future, as and when the roles become available.

Resume Scanners: Resume scanner is one major benefit provided by the job

portals to the organizations. It enables the employees to screen and filter the

resumes through pre-defined criterias and requirements (skills, qualifications,

experience, payroll etc.) of the job.


42/65

42

Job sites provide a 24*7 access to the database of the resumes to the employees

facilitating the just-in-time hiring by the organizations. Also, the jobs can be posted on

the site almost immediately and is also cheaper than advertising in the employment

newspapers. Sometimes companies can get valuable references through the passers-by

applicants. Online recruitment helps the organizations to automate the recruitment

process, save their time and costs on recruitments.

Online recruitment techniques

Giving a detailed job description and job specifications in the job postings to

attract candidates with the right skill sets and qualifications at the first stage.

E-recruitment should be incorporated into the overall recruitment strategy of the

organization.

A well defined and structured applicant tracking system should be integrated and

the system should have a back-end support.

Along with the back-office support a comprehensive website to receive and

process job applications (through direct or online advertising) should be

developed.

Sources of Recruitment

Every organization has the option of choosing the candidates for its recruitment

processes from two kinds of sources: internal and external sources. The sources within

the organization itself (like transfer of employees from one department to other,

promotions) to fill a position are known as the internal sources of recruitment.

Recruitment candidates from all the other sources (like outsourcing agencies etc.) are

known as the external sources of recruitment.


43/65

43

SOURCES OF RECRUITMENT

Internal Sources

1. Transfer: The employees are transferred from one department to another

according to their efficiency and experience.

2. Promotions: The employees are promoted from one department to another

with more benefits and greater responsibility based on efficiency and

experience.

3. Others are Upgrading and Demotion of present employees according to

their performance.

4. Retired and Retrenched employees may also be recruited once again in

case of shortage of qualified personnel or increase in load of work.

Recruitment such people save time and costs of the organizations as the

people are already aware of the organizational culture and the policies and

procedures.

5. The dependents and relatives of Deceased employees and Disabled

employees are also done by many companies so that the members of the

family do not become dependent on the mercy of others.


44/65

44

External Sources

1. Press Advertisements: Advertisements of the vacancy in newspapers and

journals are a widely used source of recruitment. The main advantage of

this method is that it has a wide reach.

2. Educational Institutes: Various management institutes, engineering

colleges, medical Colleges etc. are a good source of recruiting well

qualified executives, engineers, medical staff etc. They provide facilities

for campus interviews and placements. This source is known as Campus

Recruitment.

3. Placement Agencies: Several private consultancy firms perform

recruitment functions on behalf of client companies by charging a fee.

These agencies are particularly suitable for recruitment of executives and

specialists. It is also known as RPO (Recruitment Process Outsourcing)

4. Employment Exchange: Government establishes public employment

exchanges throughout the country. These exchanges provide job

information to job seekers and help employers in identifying suitable

candidates.

5. Labor Contractors: Manual workers can be recruited through contractors

who maintain close contacts with the sources of such workers. This source

is used to recruit labor for construction jobs.

6. Unsolicited Applicants: Many job seekers visit the office of well-known

companies on their own. Such callers are considered nuisance to the daily

work routine of the enterprise. But can help in creating the talent pool or

the database of the probable candidates for the organization.

7. Employee Referrals / Recommendations: Many organizations have

structured system where the current employees of the organization can

refer their friends and relatives for some position in their organization.

Also, the office bearers of trade unions are often aware of the suitability of

candidates. Management can inquire these leaders for suitable jobs. In

some organizations these are formal agreements to give priority in

recruitment to the candidates recommended by the trade union.


45/65

45

RESEARCH METHODOLOGY

Research Methodology:

A research is a process of providing relevant guidelines for necessary reading of

market scenario with respect to the objective for which survey is requires to be

carried out with the help of Questionnaire Keeping the objective of the

Recruitment of skilled and Qualitative Advisors in mind it was decided to

carry out a survey among educated and professional people in JAIPUR . This

process was carried over a period of 2 months .

Research objective

Understanding Life Insurance

Recruitment Of Life Insurance Prospects in METLIFE Life

Insurance .

To Develop awareness about the METLIFE Products and meeting with

them .

Contact method :

Only well qualified and professional were contacted with the help of tally calling,

references leads given by the unit manager and persons contacting .

Sample Size : The sample size was 50 individuals from varied fields of working .

Objective of training: - To understand life insurance and recruitment of capable life

insurance advisors for growth prospects.

Process: Methodology or process involving in the Research followed during the

course of summer training is as follows: -


46/65

46

a) Collection of data: - This is an important aspect in formulating the objective

of research process where the data is collected via two process: - i) Primary

Sources and ii) Secondary sources

i) Primary sources: - Where the data is collected primarily by interviewing

and personal observation and is original in nature and accurate to the

considerable extent.

ii) Secondary sources: -Where the data is obtained from some published

and printed sources such as newspaper, magazines, websites and so on.

b) Analyzing of collected data: - The data collected through market survey and

published sources is then processed to obtained necessary inferences andfindings for the purpose of achieving the objective as well as to derive

necessary conclusion. A considerable skill and knowledge is involved in

analyzing the data for the purpose of interpreting thereof.

c) Interpreting of data: - it is the significant step where the data collected and

analyzed is interpreted in the forms of graphs and figures is depicted in the

report called Project report.

d) Summarizing of data: - Thereby necessary summary is prepared which is

essential in the project report of the summer training being done under an

organization.

Helpful Arms of Research Methodology: -

Questionnaire: - Questionnaire is a set or group of questions being framed for

the purpose of obtaining market perspective about a particular aspect or topic.

There are two types questionnaire bing carried necessary for the market survey

of the summer training being undertaken and put for the by the trainee to the

sample people taken as a base for entire population:


47/65

47

a) Open ended Questionnaire: - where the people (also called respondents) are

required freedom to present their views and suggestions for the benefits and

success of the organization.

b) Close ended questionnaire: - where the respondents is limited to the choice

of answer being delivered by the interviewer itself so that quick and fast

means of responses be derived out without wasting much time. Here close

ended questionnaire being followed by me during the course of the summer

training market survey.

Sampling: - Sampling is a process of obtaining a number of individuals taken a

base for the entire population since entire population can not be asked about the

necessary objective upon which a questionnaire is put forth needed for the

responses to be derived for the purpose of generation of facts and customer view

point regarding their perception of particular product or services.

There are two type of sampling i) Random Sampling and ii) Systematic

sampling.

i) Random sampling: - Random sampling is a process of selecting the

sample size randomly and no choice or preference to be made about the

selection of respondents for the market survey and questionnaire to be

put forth against him. Here, Random sampling being adopted by me.

ii) Systematic sampling: - it is a sampling where the limited number of

selected respondents is figured out based on some criteria so that only

those respondents can be asked for the purpose of filing questionnaire.

Sample Size: - 105 respondents.


48/65

48

FACTS & FINDINGS

Following are suggestions made for the benefits and augmentation of the

sound working of the companyMet Life Insurance

1. Need to train and develop life insurance agents with more comprehensive

knowledge and skills to counter every queries of the customer.

2. It is suggested that company should not left any stone unturned towards

sound advertisement and promotional measures on every section whether

it is printed, media or air via radio.

3. The advisors should be made aware and educated so that they can extendtheir services not only in terms of collection of premium checks from the

customer but also to educate them about the insurance and the latest

nontraditional plans.

4. All the company should come out of a unit link product that should aid

every selection of the society.

5. It is also suggested that skilled management graduates need to be places

on sales and marketing of financial services who can render their best

ideas for the accomplishment of the company goals and objectives to the

best extent.

6. Also, care need to be taken that every customers grievance should be met

with delight whether before purchase or after sales.

7. There should be an expansion measure for more offices and location of

more centers for offices of the company be established sop that company

may grow its network.

8. Life insurance Products should be made flexible so as to suit every

section of society.


49/65

49

ANALYSIS AND INTERPRTATION

From the survey it was drawn that life insurance is more a protection of human asset

value against uncertainty (conferred by 51 respondents) where it is a tax saving

option (being accepted by 38 respondents). Life insurance is a service involving both

these prerequisites as depicted by remaining 16 respondents. The following depicted

this:

Protection of human asset value against uncertainty 51

Tax benefit device 38

Both 16

LIFE INSURANCE IS:

51

38

16

0

1020

30

40

50

60

Protection of

human asset value

against uncertainty

Tax benefit device Both

CATEGORY

RE

SPONSES


50/65

50

It has been observed and applied as a Life insurance is an essential service and

should be applicable to every one, as favored by considerable 78 respondents where

it is not essential to an extent by 27 respondents from the summer training project

survey by putting forth the set questionnaire.

78

27

0

10

20

30

40

50

60

70

80

NO.OF

RESPONDENT

Yes No

RESPONSES

IS LIFE INSURANCE ESSENTIAL?

RESPONDENT'S QUALIFICATION

33%

10%

57%

Post graduate

Graduate

Senior secondary


51/65

51

When further enquired about the qualification of respondents, it was found that 57%

of the respondents were graduates, 33% were post graduates and remaining 10%

were of higher secondary out of total 105 respondents. Further depicted in the

following tabular representation : -

Post graduate 35

Graduate 59

Senior secondary 11


52/65

52

Q1 Are you aware with term life insurance ?

1. From the survey conducted, it was inferred from the 50

Respondents that 30 of them are aware with the term life insurance

While other 20 have heard or possessing insignificant Knowledge

Pertaining to life insurance.

30

20

0

10

20

30

yes no

Series1


53/65

53

Q2 What according to you is necessary for a Business opportunity to make it in action?

.

2. It was depicted that to run a business capital (28) is the most vital Component there

after Business idea, company brand and trust as was Inferred by the 50 respondents.

56

20

16

8

Capital

Business Idea

Brand

Trust


54/65

54

Q3 Are you satisfied with the work you are pursuing Presently?

When asking about the satisfaction from the current working Profession, 35 of

the total respondents said they are unsatisfied due To low generation of income

from it. Remaining 15 are satisfied but To an extent they are well equipped to

avail luxury comforts.

15

35

0

10

20

30

40

yes no

Series1


55/65

55

Q4 How do you Perceive Insurance industry?

4. 26 of the respondents majority agreed that insurance industry is a Sound with

good future prospects in renewal form while 14 still Perceive it as unsuitable and

rest 10 dislike as one has to listen lot of Criticism.

_______________________________________________

Q. 6 Interested in knowing the fascinating career in life insurance?

5. Yet People are interested to know about the fascinating business opportunity of

licensing of life insurance agency where there is no dearth to earn no rule over no fix

hour of job and lots more .It is being inferred form 36 respondents who were interested to

know all about this. great scope is yet to be exploited.

36

14

0

10

20

30

40

yes no

Series1

52%

28%

20%A. Sound with

good future

prospects

B. Not suitable

C. Hateful


56/65

56

Q.6 What benefits derivable in life insurance like ICIC Prudential No 1 private Life

insurance?

21

15

7 7

0

5

10

15

20

25

Unlimite

dEa

rning

HighterRe

cognitio

n

Byyour

ownbo

ss

Nofixedh

ourofjo

b

Series1


57/65

57

Q.7 What is the first obstacle can you think of while selling insurance via Met Life

insurance?

Following are the obstacles as being inferred from the respondents view

that one can perceive while selling life insurance via private life insurance:

Private Company, can run away after few years of working 23

Not Trustable 13

LIC is only because it is government 11

If you move out who will taken care of our funds? 2

Policies are very stringent and norms are very difficult 1

23

13

11

2 1

Private Company,canrun away after few years

of working

Not Trustable

LIC is only because it is

government

If you move out who will

taken care of our funds?

Policies are very

stringent and norms are


58/65


59/65

59

SWOT ANALYSIS

1.STRENGTHS:

METLIFE is a brand of trust to over 5,00 , 000 customers .

A countrywide network of 200 + offices

2.WEAKNESSES:

People trust LIC presently as it is a Government concern . Agents are not professional and well being .

3. OPPORTUNITIES:

Low competition , as only 15 life insurance companies in the Indian market

exists for the Hugh mass of over 100 million population.

Since the beginning of private insurance , a vast untapped market Of

150crores of population.

Near about 7-10% of overall insurance has been done in the

past years, so a large scope exists.

4.THREATS :

Frequency of new entrants in life insurance is raising

competition.

Mutual Funds , Securities, Banking are posing a great challenge.

Low awareness with respect to life insurance and adherence to LIC

Since it exists its business operations for over 50 years and a

Government corporation.


60/65

60

CONCLUSION

There was a great experience working for the recruitment of the life insurance

advisor and delighted to serve for the company which is working for a noble

cause service.

In the due course of my summer training I met with around 50 people in the

course duration. I come to the conclusion that most of the people are having an

urge to earn more than their current status, but they are not getting any kind right

of opportunity they desire, in which mode they earn; what they need in a legal and

better way .

Many of them as and when they know about the beneficial aspects of

becoming an insurance advisor they grab this opportunity in one way or other. In

my study I draw the conclusion that people getting frequently associated with the

business of life insurance. Also life insurance business is growing at a very rapid

pace and more and more multi corporate are forming joint ventures with leading

foreign insurance players to start the business of life insurance with the legal

Approval from IRDA. Even AIRTEL has been entered into the Business of life

insurance with AXA life insurance.


61/65

61

RECOMMENDATIONS

Following are recommendations being suggested for the growth Prospects of the

company METLIFE Insurance:

Proper awareness with respect to Licensing of Agencies and people to opt

it as a great career approach.

Qualified and skilled agents should be appointed after thorough screening

and interview and making them aware about the great career in life

insurance.

The plans and policies of the company should be flexible and there should

be transparency in it.

In each and every district there should be one branch of METLIFE.

There should not be the territory restrictions.

Company should put stress on rural market also.

Company should provide new advisors training program time to time and

motivate them by regular meetings and give them awards according to

their performance.

Company should publish its weekly review of internal and external

competitive business .

Company should invites the potential customers who invests more money

in the plans and generates their interest to invest more in new modified

plans.


62/65

62

QUESTIONNAIRE

Name : -..

Occupation : -.

Date of Birth : -.

Resident location : -...

Q.1 Are you aware with the term Life insurance ?

A. Yes

B. No

Q.2 What according to you is necessary for a business opportunity tomake it in action ?

A. Capital

B. Business Idea

C. Brand

D. Trust

Q.3 Are you satisfied with the work you are pursuing presently ?

A. Yes

B. No


63/65

63

Q.4 How do you perceive Insurance industry ?

A. Sound with good future prospects

B.Not suitable

C.Hateful

Q.5 How you view Life insurance agent as an career ?

A. Absolute growing with unlimited potential of earning

B. Not my cup of tea

C. Depend upon successive running of company fairly long Period of time

Q.6 Would you like to be heard about the fascinating career Making in

life insurance that may change your life ?

A. Yes

B. No

Q.7 What benefits can you perceive in Life insurance company likeMETLIFE Life insurance - No.1 private Life insurance

A. Unlimited Earning

B. Higher Recognition

C. Be your own boss

D. No fixed hour of job

Q.8 What is the first obstacle can you think of while selling

insurance via METLIFE Life insurance ?

A. Private Company , can run away after few years of working

B. Not trustable


64/65

64

C. LIC is only because it is government

D. If you move out who will taken care of our funds ?

E. Policies are very stringent and norms are very difficult

Q.9 Do you foresee the explosive growth in Insurance

industry in the years to come in the nation of over 100

million people living ?

A. Yes

B. No

Q.10 Would you like to know more about Licensing of

agents via METLIFE and our office ?

A. Yes

B. No

Suggestion :

a.

b.

c.

d.

e.

Thanking for your sincere cooperation !


65/65

BIBLIOGRAPHY

BOOKS: KOTHARI C.R.:Research Methodology Management,3

rdEdition

KOTLER PHILIP: Marketing Management 11th Revised edition,2002

GUPTA S.P.: Statistical Methods Thirteen revised edition, 2001

Kotler Philip : Marketing Management, Prentice Hall of India, NewDelhi

Handa Sunil : Insurance, Sheel Write Well (P) Ltd., Jaipur

K. Aswattappa : Human Resource Management

Mathew, M.J, Insurance Principles and Practice,2 nd Edition RBSAPublishers,2003

International Publishers, 2005. Page no. - 12 to 19.

Storey, Human Resource Management, Thompson Learning, NewDelhi,2001.

Wreather and Davis, Human Resource Management, Prentice Hall

MAGAZINES:

India Today

Business World Business Economics

LSEs Magazine

WEBLOGRAPHYWebsites :-

www.metlife.co.inwww.irdaindia.orgwww.lifeinsurancecouncil.com

www.indiainfoline.comwww.businessconnect.com
http://www.metlife.co.in/http://www.irdaindia.org/http://www.lifeinsurancecouncil.com/http://www.indiainfoline.com/http://www.businessconnect.com/http://www.businessconnect.com/http://www.indiainfoline.com/http://www.lifeinsurancecouncil.com/http://www.irdaindia.org/http://www.metlife.co.in/

bhuvaneshwar reporyt

Documents