Submitted to Bangalore University as per the partial fulfillment of the requirement for the award of Master of Business Administration

Submitted By MOHAMMED LIYAKHATH PASHA ( 04ACCM6044 )

BANGALORE 560 027

I wish to take this opportunity to express my heartful thanks to our beloved principal Mrs. A ANURADHA, Al Ameen Institute of Management Studies Bangalore, for her valuable guidance, suggestions and encouragement for completing the internship training. It is my privilege to thank Mr. NAGESH NAYAK the Sales Team

Manager of BAJAJ ALLIANZ for his valuable suggestions, guidance, encouragement, and providing me the necessary study materials & other information through out my study inspite of his busy schedule. I also express my sincere thanks to faculty members Mr.FILJI CHERIAN, Mrs. VEDHA BALAJI and Mr.VINAYAK BHAT for their valuable suggestions, guidance and moral support through out my study. Last but not least I would like to thank my parents and all my friends who have helped directly and indirectly to complete this project.

Date: Place: Bangalore MOHD LIYAKHATH PASHA

CERTIFICATE
This is to certify that Mr. MOHAMMED LIYAKHATH PASHA of 3rd Sem MBA has successfully under gone the internship training for 6 to 8 weeks in BAJAJ ALLIANZ Life Insurance Company limited and submitted a report entitled An Over All Organizational Study of BAJAJ ALLIANZ Life Insurance Company Limited under the valuable guidance of Mr. Filji Cherian, the faculty member. We wish him all the best for his future endeavor.

Mr. Filji Cherian ( Internal Guide )

Mrs. B A Anuradha ( Principal )

DECLARATION
I here by state that this Internship Report entitled An Overall Organization Study Of Bajaj Allianz Life Insurance Company Ltd, Bangalore, Karnataka submitted to Bangalore university in partial fulfillment of the requirement for the award of the Degree Of Master Of Business Administration is a record of original work done by me under the supervision and guidance of Mrs. B A Anuradha, Principal Al-Ameen Institute Of Management Studies, Bangalore and not submitted for the award of any other Degree/Diploma or similar prizes.

PLACE: Bangalore DATE: MOHAMMED LIYAKHATH PASHA

CONTENTS
Chapter Nos 1 2 3 4 5 6 7 8 9 10 Chapter Names Project Design And Study Insurance Sector Company Profile Insurance Plans of Bajaj Allianz Life Insurance Company LTD Human Resource Management Sales And Marketing SWOT Analysis of Bajaj Allianz Problems and Solutions Suggestions And Recommendations Bibliography Page Nos 01 05 12 19 37 40 47 49 53 57

 Introduction Location of study Need for the study Objectives of study Methodology of study

Limitations of the study

INTRODUCTION

Organizations have become increasingly complex in which the students of management need to keep abreast of current best practice, legal requirements and likely trends, This study set out to give an overview of some departments at BAJAJ ALLIANZ that are relevant to the effective management study.

Location of the study:

The organizational study was undergone at BAJAJ ALLIANZ Life Insurance co. ltd. Bangalore 560047 and the duration was of 6 weeks, that is first week of July to second week of August 2005.

Need for the study:

Being a post graduate student of business administration (MBA), it is essential to undergo the internship training of 6 weeks in any organization. This is to fulfill the requirements prescribed by the Bangalore University for awarding the MBA degree. Further it was a personal interest to choose BAJAJ ALLIANZ Life Insurance for the study and get an exposure from various departments of the organization.

Objectives of the study:

To be familiar with working of the said organization. To understand various function of the organization namely marketing sales human resource and operations.
To analyze the market position of the said organization.

To study how the theoretical knowledge is made use of in real life.

To identify the strength and weaknesses. To study acceptance levels of the people towards insurance. To study the competition and their performance in the insurance industry. To study the organizational structure.

Methodology of the study

The study is entirely based on the primary data as well as secondary data The primary data was collected by unstructured interview method, which seem to be much appropriate for the study, which is much sensitive in nature. The questions to the respondents were not fixed and preplanned but being aware of the required data; questions were posed to the respondents in the unstructured manner keeping in view to obtain the required data. The responses were quite exhaustive.

The secondary data was collected from the source available like broachers literatures etc, and also by visiting the web sites like www.irdaiandia.com, www.bajajallianz.co.in and www.google.com

Limitations of the study:

The study on any organization is not complete with out studying the functional responsibilities of various departments as a whole. Our study is restricted to a few departments, primarily and specifically the study is with respect to MARKETING AND SALES. Other departments were not focused much because of the time factor. We shall always strive and make an effort to bring about more information of other departments in future, whenever and wherever theres an opportunity.

 A brief introduction Various policies available

Insurance companies existed in the Indian market Players likely to enter

General LICS

INSURANCE: A BRIEF INTRODUCTION

What Is Life Insurance & what are the benefits of it? Life Insurance deals with the financial losses incurred incase of Death, Disability, Disease, and Destitution. It is the only financial product that gives three benefits i.e. Tax benefit, Protection and Investment. Life Insurance is a contract that guarantees payment of a stated amount of money to the policyholder on the occurrence of a stated event. It pays a contracted amount of money on death of the policyholder or on his survival of a stated period of time. Under some contracts the sum assured is paid to the policy owner to take care of his old age, childrens education, and marriage. Insurance can also be used for saving tax or repayment of a loan. Taking care of all these needs, insurance is one of the easiest and most affordable financial tools. Why do I need Life Insurance? To protect your family and dependants in case of unexpected or premature death or disability, thus brings about social security. How much Life Insurance do I need? Your Life insurance amount depends on your needs, your present financial circumstances and the objectives you are trying to achieve. Most financial advisors recommend 5 to 10 times your gross annual income.

Who Can Buy The Life Insurance? 1) A Person Of India or Foreign Resident (Subject to Certain Restrictions) 2) A Person Who Has Got An Income Is Prospect For Life Insurance. 3) A Person Who Is Sound in Mind and Normal in Health. 4) As Per as Age is Concerned There is No Limit. A Child who is Less Than a Year Can also be insured. But Risk is not Covered Up to 7 Years. This is a Universal Concept For All Insurance Companies. 5) Minimum Age of Entry is 0 Year and Maximum is 69 Years. 6) For Additional Benefits Minimum Age of Entry (Rider Benefit) is 18 Years Maximum Age Is 50 Years.

HOW PREMIUM IS CALCULATED? Male Premium: Is Taken As Per Last Birth Day or Near Birthday. Female Premium: Is Charged Less Compared to Male Premium. Bajaj Allianz is the Only Company to Charge Less Premium Compared to Other Companies.

What are the various policies available? The various policies available are TERM, WHOLE LIFE, ENDOWMENT & PENSION, MONEY BACK. TERM: Term Policies are comparatively short term policies where the sum assured is paid to the beneficiaries only upon the death of the insured person within the term period. WHOLE LIFE: Whole of Life Insurance Policies are Life Long Policies where the premiums are low. The assured sum is paid (to the beneficiary) when the insured person dies or on a pre specified date (to the policy holder). ENDOWMENT: Endowment Policies are recommended for people who require money at a prespecified point in time or at regular intervals and are willing to pay higher premiums. The Sum assured is also paid to the beneficiary in case of death of the policyholder before the specified term. PENSION: Pension Plans provide for immediate or deferred pension for life to the insured person or to the beneficiary.

INSURANCE COMPANIES EXISTING IN THE INDIAN MARKET:

LIC: Life Insurance Corporation of India Ltd.(this is completely owned by

govt of India)
BAJAJ ALLIANZ LIFE INSURANCE COMPANY: ( A joint venture

between BAJAJ auto and ALLIANZ AG German based life insurance company)
ICICI PRUDENTIAL LIFE INSURANCE : ( A joint venture between

ICICI bank & PRUDENTIAL of UK)

OM KOTAK MAHINDRA: ( A joint venture with OLD MUTUAL OF

SOUTH AFRICA & KOTAK MAHINDRA BANK )

BIRLA SUNLIFE: (A joint venture between ADITYA BIRLA group of

companies & SUNLIFE of CANADA )

TATA AIG: (A joint venture between the TATA group and US based

company AIG )
MAX NEWYORK LIFE: (A joint venture between MAX & NEWYORK

LIFE a US based company )

 METLIFE: ( A joint venture between METRO POLITAN LIFE

INSURANCE company (US based) & Jammu & Kashmir Bank )

AVIVA: (A joint venture between DABUR & CGU, commonly known as

AVIVA )
ING VYSYA: ( A joint venture between International Netherland Group

ING a Dutch based company & VYSYA Bank limited )

SBI LIFE: (A joint venture between SBI Bank & CARDIFF Life

Insurance )

Note: Rule for Joint Venture Indian Company Should Have To Invest 76% or More and Foreign Company Must Need Have an Investment Of 24 %

PLAYERS LIKELY TO ENTER IN THE INSURANCE MARKET:

 Sahara Group AXA From France Reliance GENERAL INSURANCE COMPANIES: Four Major Companies Which Are Completely Owned By Govt Of India Are: 1. National Insurance Company Limited. 2. New India Assurance Company Ltd. 3. Oriental Insurance Company Ltd. 4. United India Insurance Company Ltd. Private General Insurance Companies: 1. Bajaj Allianz GIC. 2. ICICI Lombard. 3. Tata AIG. 4. Royal Sundarum. 5. Cholamandalum. 6. Iffco Tokyo GIC. 7. Reliance GIC.

About Bajaj Auto

About Allianz AG Brief History About Bajaj Allianz Vision of Bajaj Allianz Core Values

COMPANY PROFILE

BAJAJ AUTO:
One of the largest 2 & 3 wheeler manufacturer in the world 21 million + vehicles on the road across the globe Managing funds of over 4,000 Cr. Bajaj Auto finance, one of the largest auto finance companies in India Rs. 4,744 Cr.Turnover & Profits of Rs. 538Cr. In 2002-03.

ALLIANZ AG:

 Worlds largest insurance company by revenue Rs 5,24, 400 Cr ( US $ 114 Billion )

World wide 2nd by GWP- Rs.4,46,654 Cr (Euro 85 billion )

3rd largest Asset under management (AUM ) & largest among insurance

companies. AUM of Rs 51,96,959 Cr. ( Euro 996 billion )

11th largest corporation in the world

50% global business from life insurance , close to 60 million lives insured globally established in 1890,115 years of insurance expertise More than 70 countries 1,73,750 employees worldwide Insurance almost half of the Fortune 500 companies.

BRIEF HISTORY OF BAJAJ ALLIANZ

Bajaj Allianz Life Insurance Co. Ltd. is a joint venture between two leading conglomerates- Allianz AG, one of the world's largest insurance companies, and Bajaj Auto, one of the biggest 2 and 3 wheeler manufacturers in the world. Allianz AG is a leading insurance conglomerate globally and the largest asset manager in the world, managing assets worth 4989 billion Euros (Rs 49,84,560 crores).At Bajaj Allianz, we realize that you seek an insurer you can trust your hard earned money with. Allianz AG has more than113 years of financial experience in over 70 countries and Bajaj Auto, trusted for over 55 years in the Indian market, are committed to offering you financial solutions that provide all the security you need for your family and yourself. At Bajaj Allianz, customers delight is our guiding principle. Ensuring world class solutions by offering you customized products with transparent benefits supported by the best technology is our business philosophy. Bajaj Allianz Life Insurance Is the fastest growing private life insurance company in India. Currently has over 3, 00,000 satisfied customers.

There are 155 customer care centers

Over 6,00,000 satisfied customers

 1000 Cr. GWP, 380% growth for Bajaj Allianz Life strengthens No. 2

position with Rs.248 cr. Lead The fastest growing and one of the leading life insurers in the country Accelerated Growth
Financial year 2001-02 (6 months) 2002-03 2003-04 2004-05 No. of policies 21,376 1,15,965 1,86,443 2,88,191 GWP in FY Rs. 07 cr. Rs 69 cr. Rs 221 cr. Rs 1000 cr.

Pan India network Wide range of products to suit your needs

Decentralized organizational structure for better coordination and service

All customer care centers (CCC,s ) networked with state of art IT systems Highest standard of customer service & simplified claims process in the industry.

One of India's leading private life insurance companies:

BAJAJ ALLIANZ LIFE: A Household Indian Name teams up with a global conglomerate ALLIANZ GROUP A global giant with operations in over 70 countries BAJAJ GROUP Bajaj Group is a Rs. 4000 crore auto giant

VISION OF BAJAJ ALLIANZ:

To be the best Insurance Company in India to buy from, work for & invest in.

CORE VALUES OF BAJAJ ALLIANZ:

Customer delight the guiding principle Ensuring world class solutions & services Offering customized products Transparent Benefits

SHARED VALUES OF BAJAJ ALLIANZ:

ALLIANZ BAJAJ WILL BE: Be a winning team Have a passion for excellence and avoid bureaucracy Be empowered, have the to take decisions quickly and accountable Be driven to achieve results, to deliver Be professional and social committed Be open to ideas ,sharing ,transparent and trusting Focus everything we do on our customers
Make A Z Bj a great place to work

Have a sense of humour.

 Conventional/Traditional Insurance Plans ULIPS (Unit Linked Insurance Plans )

CONVENTIONAL/TRADITIONAL INSURANCE PLANS:

 Invest Gain An Endowment Plan This saving plan combines your protection (up to quadruple cover) with a unique family income benefit. Cash Gain Money Back Plan Only money back plan that offers quadruple protection going up to four times the basic sum assured and family income benefits. Life Long Gain Regular income for you and the added benefit of providing for your loved ones too. A plan which provides you wholly life protection with only 10 or 15 years of premium contribution and guaranteed survival benefits. Protector A Mortgage Reducing Term Insurance Plan Perfect plan to protect the family from the repayment liability of outstanding loans, in the unfortunate case of death of the loanee. Child Gain Children Policy Right providing for your childs education to securing a bright future, tailor made to suit your childs needs, covers it all.

Swarn Vishranti Retirement Plan

In addition to life insurance and attractive tax benefits this plan enables you to make adequate provisions for your post retirement years as well. Risk Care- Pure Term Plan A comprehensive plan which enables you to provide financial security to your loved ones at the lowest possible cost. The only term plan in the market to give hospital cash benefit option and the facility to cover two lives. Life Time Care Whole Life Plan Whole life provides survival benefits at the age of 80, thereby making sure you are secure at a time when you need it the most. Save Care Economy SP Single Premium Endowment Plan A single premium investment plan for 10 years which provides life cover along with growth in savings. Term Care Term Plan With Return Of Premium An economic way of providing life cover, this plan also ensures the return of all premiums at the time of maturity. Keyman Insurance-A Promising Business Opportunity Keyman insurance is a life insurance cover under a suitable plan, insuring your business against unfortunate loss of key people.

Unit Gain Easy Pension-Choice Of Regular Premium And Single Premium

A premium investment liked deferred annuity policy. A plan which helps you to take control of your future and ensures better retirement benefits. Unit Gain Life Pension-Choice Of Regular Premium And Single Premium Designed to take care of your retirement and insurance needs by providing a comprehensive solution for a life time. Swarna Raksha I-Immediate Annuity
o Life Annuity: A fixed annuity for life will be payable as per the

mode selected. The annuitant has to produce an existence certificate at least 15 days prior to the policy anniversary date every year. The annuity is payable up to the end of the policy year on which the death of the annuitant occurs.
o Life Annuity Guaranteed For 5,10,15,20 Years: A fixed annuity

for life will be payable, guaranteed for the chosen period (5/10/15/20years).The annuitant has to produce an existence certificate at least 15 days prior to the policy anniversary date every year.

o Life Annuity with Return of Purchase Price: A fixed annuity for

life will be payable. The annuitant has to produce an existence certificate at least 15 days prior to the policy anniversary date.

o Life Annuity With Joint Life Last Survivor: A fixed annuity for

life will be payable as per the mode selected. The annuitant has to produce an existence certificate at least 15 days prior to the policy anniversary date every year. The annuity is payable up to the date of death of the last survivor annuitant. NRI Insurance-All Our Life Plans Are Available To NRIs

GROUP LIFE PLANS:

Group credit care employer

 Group term life employer Group term life scheme in lieu of EDLI(employees deposit linked insurance Scheme 1976) Bajaj Allianz group gratuity care
Bajaj Allianz group superannuation care

UNIT LINKED INSURANCE PLANS (ULIP):

Different types of schemes In Unit Gain Insurance Plan (ULIP) are as follows:

 Unit Gain Unit Gain Single Premium Unit Gain Plus Unit Gain Plus Single Premium Unit Gain Life Pension Unit Gain Easy Pension Life Long Gain In ULIP the Policy Holder himself has to desire regarding the o Premium Payment Terms o Benefit Terms By nature ULIP is very flexible and therefore Market Risk is associated with the ULIP (In ULIP minimum premium payment period is three years and maximum is 20 years)

FUNDS AVAILABLE IN ULIP:

1. Equity fund ( EQUITY PLUS / GAIN )

2. Equity Index 3. Mid Cap Fund ( Mid cap plus ) 4. Balanced Fund ( Balanced plus ) 5. Cash Fund ( Cash plus ) 6. Debt Fund ( Debt plus )

NOTE: We taking NSE and NIFTY index. BSE is not considered

UNIT GAIN / UNIT GAIN PLUS: Introduction:

The thumb rule for buying insurance is that your insurance needs are minimal in your earning years they increase with added responsibilities (Marriage, Children, Loans, Etc.) and taper off by the time you retire. It is difficult to find a single insurance plan that can take care of all the changing requirements in life - additional protection, more money to invest, sudden requirement of cash. With Bajaj Allianz Unit Gain, you can invest in one life insurance plan that can take care of all your changing requirements throughout your life. Bajaj Allianz Unit Gain offers the unique options of combining the protection of life insurance with the attractive prospects of investing in securities. You can choose the investment fund you want to invest your money, providing you with an opportunity to have direct stake in the performance of financial markets. You also benefit from attractive tax advantages and can protect your loved ones against unfortunate events.

What are the key features of Unit Gain Plan? Bajaj Allianz Unit Gain comes with host of features to allow you to have the best of all worlds - Protection and Investments with flexibility like never before.

Some of the key features of this plan are:

 Guaranteed death benefit. Choice of investing the funds. Attractive investment alternative to fixed- interest securities. Provision for full/partial withdrawals any time after three full years premium are paid. Unmatched flexibility - to match your changing needs. How Does the Unit Gain Plan Work? The premiums paid are invested in fund/funds of your choice (depending on the allocation rate) & units are allocated depending on the price of units for the fund/funds. The value of your policy is the total value of units that you hold in the fund/funds. The insurance cover charges are deducted through monthly cancellation of units. The fund Administration Charges and Fund Management Charges are priced in the unit value.

- Minimum Sum Assured = 5 times the annual premium. - Maximum Sum Assured = y times the annual premium where y will be as per the following table:
UNIT GAIN Age group 0-30

31-35

36-40

41-45

46-55

56-60

Y 125 UNIT GAIN PLUS Age group 0-30 Y 125

105 31-35 90

75 36-40 60

55 41-45 40

30 46-55 20

20 56-60 15

What are the benefits of it? Death Benefit. Cash Withdrawal Options. Investment Options. Increase in Regular Premium Payment and Top-Ups. Tax Benefits. Additional Protection for you and your family.

Premium Holiday. Switching between funds.

INVESTMENT OPTIONS:

Bajaj Allianz offers you a choice of 4 funds. You can choose to invest fully in any one fund or allocate your premiums into the various funds in a proportion that suits your investments needs. All the funds will be managed by the asset managers of Bajaj Allianz. The five funds offered are as under: a) Equity Fund: This fund provides the scope of high appreciation over a long term. The fund will primarily invest in equities and is expected to match returns given by NSE NIFTY. This fund will invest at least 90% in equities and maximum 10% in cash. b) Equity Gain Fund: the investment objective of this fund is to provide capital appreciation through investment in selected equity stocks that have the potential for high capital appreciation. This fund will invest at least 85% in equities and maximum 15% in debt and cash instruments. c) Debt Fund: This fund provides the scope for steady returns at low risk through investments in high quality fixed income securities. This fund will be invested fully in debt instruments.

d) Balanced Fund: The balanced is primarily for those who prefer mix of steady returns and growth. The balanced fund will invest 30% to 50% in the equity fund and 50% to 70% in the debt fund. e) Cash Fund: The cash fund will invest conservatively in money market & short term investments to ensure that return on investments shall never be negative. 100%

of this fund will be invested in money market instruments. The price of the units in this fund will never to go down. What is Premium Allocation? A certain percentage of the prevailing premium will be allocated to purchase units at the prevailing purchase price. The allocation rates would be as follows: UNIT GAIN YEAR 1 2 3 4th yr.onwords UNIT GAIN PLUS YEAR ALLOCATION (%) 1 76 2 97 3 97 th 4 yr.onwords 97

ALLOCATION (%) 30 98 99 100

The allocation of top-ups would be 100% of the premium paid in UNIT GAIN & 98% in UNIT GAIN PLUS.

Increase in Regular Premium Payment and Top-Ups: The policyholder will have the option to increase the regular premium amount at any time. The additional single premium would be treated as a single premium topup every year. The policyholder will also have the option to increase the amount invested through top-ups. Switching between funds:

Policyholder can switch units from one fund to another. The amount switched should be in multiples of 1000, and the minimum switching amount is Rs. 5000 or the fund value which ever is lower. Three free switches would be allowed every year. Subsequent switches would be charged @ 1% of the switch amount or Rs. 100 whichever is higher. What is age at entry for Unit Gain plan? Minimum age at entry: 0 (Risk commences at the age 7, and ceases after 70) Maximum age at entry: 60 The minimum age at entry for all additional benefits is 18 years.

The maximum age at entry for all additional benefits is 50 years. All additional benefits are available till age 65.

What is Bid Offer Spread? Bid offer spread is 5% in case of Bajaj Allianz. The difference between the offer and the bid price takes into account an initial management charge that is 5% of the offer price. Premiums paid by the policyholder will buy units at the current offer

price and units will be cashed at the current bid price of the units. This is applicable in UNIT GAIN. In UNIT GAIN PLUS, there is no Bid offer spread. What are the different funds?
Equity Fund - Investment is in NSE ( National Stock Exchange ) NIFTY

i.e. top 50 companies.

Debt Fund - Investment is in Govt. Bonds for e.g. IDBI Bonds, Mutual

Funds etc.
Balance Fund - Investment is in Govt. and Private Companies.

Cash Fund - Investment is in Call Money Market ( operates on the need for

cash on hourly basis).

Tax Benefits Contribution other than value of units cancelled for Critical Illness and Hospital Cash eligible for tax relief under Sec 80c of IT Act, as of now. Value of Units cancelled for Critical Illness and Hospital Cash Benefit is eligible for tax relief under Section 80(D). Death Benefit and Withdrawals (partial or full) is tax free under section 10(10) D of the Income Tax Act, if the premiums paid in any year does not exceed 20% of the Sum Assured or Fund Value, whichever is higher.

Incase of change in any tax laws relevant to the policyholder or the fund performance, the same will be applied as per regulations prevailing at the point of time.

UNIT GAIN SP / UNIT GAIN PLUS SP:

Introduction:
Bajaj Allianz Unit Gain SP offers the unique option of combining the protection of life insurance with the attractive prospects of investing in securities. You can choose the investment funds you want to invest your money, providing you with an opportunity to have a direct stake in the performance of the financial markets. You also benefit from attractive tax advantages and can protect your loved ones against unfortunate events.

What are the key features of this plan? Convenient single premium payment, with option to pay top-ups later.

 100% of the single premium/top-ups are allocated in Unit Gain SP& 98% in

Unit Gain Plus SP. Guaranteed death benefit.

Choice of investment funds with flexible investment management: you can

switch between funds at any time.

Attractive investment alternative to fixed-interest securities.

Provision for full/partial withdrawals any time after the single premium is paid.
Unmatched flexibility to match your changing needs.

What is the minimum amount to be invested? The minimum amount to be invested is Rs.25000/What is the minimum Top-Up? The minimum Top-Up is Rs.10000/What is the age limit for this policy? Minimum age at entry is: 0 (Risk commences at age 7, and ceases after age 70) Maximum age at entry is: 67-Unit Gain SP and 69 for Unit Gain Plus SP. What are the tax benefits under this plan? Death benefit is tax free. Tax benefits are available under Sec 80c and Sec 10(10) D, as per the prevailing IT Laws, If the single premium/top up paid in any year is less than 20% of the Sum Assured.

What is the sum assured? Minimum Sum Assured = 1.01 times the single premium. Maximum Sum Assured = y times the single premium where y will be as per the following table. UNIT GAIN SP Age group 0-30 31-35 36-40 Y 45 35 20 UNIT GAIN PLUS SP Age group 0-30 31-35 36-40 Y 45 40 25

41-45 10 41-45 15

46-60 5 46-60 5

61-69 1.5 61-67 1.01

Introduction

 Definition Functions

HUMAN RESOURCE MANAGEMENT Introduction:

Human Resource Management (HRM) is a management function that helps managers recruit, select, train and develops members for an organization. Obviously, HRM is concerned wit the peoples dimensions in organization.

DEFINITION OF HRM
HRM is concerned with the planning, organizing, directing and controlling of the procurement, development, compensation, integration maintenance and separation of human resources to the end that individual, organizational, and social objectives are accomplished .

FUNCTIONS:
1) Determining the human resources needs of the company. 2) Recruiting, selection, placement and Replacement. 3) Developing and maintaining an effective communication system.

4) Establishing a regular system of Evaluation and performance appraisal. 5) To maintain smooth scanning of the organization. 6) The main objective of the personnel department is to maintain the discipline of every individual whether workman / staff supervisory managerial. 7) To look of the welfare activities of the employees, first aid facility is maintained in every department there is first aid box where in medicines will be kept for their utilization under the control of section supervisor. 8) As regard provident fund of the employers the connected records are maintained with the government bodies as well as in the organization and periodical returns are submitted.

 Introduction Channels Of Marketing Group & Alternative Channel

Group & HNI &

 Agency Channel

Hierarchies In Marketing And Sales

SALES AND MARKETING

Marketing
is the process of identifying needs and wants of the customers and translating that wants into products and services which will satisfy his needs and delight him as a customer but also helps to the organization to achieve its goals. A complexity of management decision making has greatly increased during recent years through out the world. This is especially true with respect to the marketing activity. Marketing activities are an interface between the firm and changing character of most markets (example: population, growth raising incomes and shift in the aged composition ). Most management groups are far removed from their customers the individual who in the final analysis, determine the success or failures. A complicated system of branch officers, wholesalers and retailers operates between the manager and the

widely scattered customers. Consequently, the executive who must make marketing decisions has no direct contact with the actual or the prospective customers. Coming to the selling of insurance its tough but challenging. Basically human needs and analysis is done. To understand and fact find one should possess good communication skills and a zeal for success.

Normal insurance rule is 50:04:01 50 Calls 4

1

Appointments Buy insurance

CHANNELS OF MARKETING:
Group and Alternate Channel Group and HNI (High Net worth Individual )

Bank Assurance Agency Channel

Group And Alternative Channel :

Vice President Associate Vice President Area Manager Deputy Area Manager

Relationship Managers Junior Relationship Manager Senior Insurance Service Executive Insurance Service Executive Insurance Service Representative

Group and HNI :

Vice President Associate Vice President Area Manager Deputy Area Manager Relationship Managers

Junior Relationship Manager Senior Insurance Service Executive Insurance Service Executive Insurance Service Representative

Bank Assurance :
Standard Chartered Bank Syndicate Bank Centurion Bank

Agency Channel : South zone

ZONAL MANAGERS

CHIEF MANAGERS

SENIOR BRANCH MANAGERS ASSISTANT BRANCH MANAGERS SALES TEAM MANAGER SATELLITE BRANCH MANAGERS INSURANCE CONSULTANTS SALES TEAM MANAGERS

INSURANCE CONSULTANTS

Hierarchies In Marketing And Sales :

CHAIRMAN CEO

H R MANAGER

HEAD OF SALES AND MARKETING

ZONAL MANAGERS

CHIEF MANAGERS

SENIOR BRANCH MANAGERS ASSISTANT BRANCH MANAGERS SALES TEAM MANAGER SATELLITE BRANCH MANAGERS INSURANCE CONSULTANTS SALES TEAM MANAGERS INSURANCE CONSULTANTS

SWOT ANALYSIS OF BAJAJ ALLIANZ

Strengths:
1. Commitment to total customer satisfaction 2. Wide range of quality products 3. Excellent infrastructure 4. A strong unity among its employees. 5. Highly computerized 6. Giving importance to each and every age group

Weaknesses:
1. Lack of proper advertisement. 2. Not much of branches in Bangalore like other life insurance companies

Opportunity:
1. The company is planning to open new branches in the Bangalore city.

Increasing the insurance consultants and start more of mobile servicing.

Threats:
Cut throat competition from other insurance companies and also from foreign players.

Problems Identified Insurance Sector:Life Insurance deals with the financial losses incurred incase of Death, Disability, Disease, and Destitution. It is the only financial product that gives three benefits i.e. Tax benefit, Protection and Investment. Life Insurance is a contract that guarantees payment of a stated amount of money to the policyholder on the occurrence of a stated event. It pays a contracted amount of money on death of the policyholder or on his survival of a stated period of time. Under some contracts the sum assured is paid to the policy owner to take care of his old age, childrens education, and marriage. Insurance can also be used for saving tax or repayment of a loan. Taking care of all these needs, insurance is one of the easiest and most affordable financial tools. During my study in BAJAJ ALLIANZ Life Insurance Company limited I had identified the following problems which the insurance sector is facing. They are as follows:1) Awareness Level : If we look in to the awareness level of the insurance companies, we see that LIC has 100% awareness in the market. People associate insurance

to LIC. It has become a generic brand. So it has become a challenging task for the private life insurance companies. 2) Lack Of Agent Services : During my study in bajaj allianz I found that agents spoke about only those policies which give them maximum commission.

3) Insurance Coverage: In India till now only 20% of the population is covered under insurance while the remaining is yet to be insured. As insurance sector has been opened up, the monopoly of government companies has broken and many new private players have entered in to the insurance sector thus the sector has become highly competitive with full of challenges.
4) Branches:

If we compare to other private life insurance companies, Bajaj Allianz Life Insurance Company has its only one branch in the Bangalore.

Solutions of The Above Problems:

1) Spread Insurance Awareness: As we see that people associate life insurance to LIC only, so these private sector companies have to work hard to remove this concept from the minds of the people. There is urgent need to highlight the benefits of insurance products to the majority of population.

2) Agents Services: The agent has to spoke not only those policies which gives them maximum commission but also some other policies which are very important from the point of company and to general public.

3) To Increase The Percentage Of Insurance Coverage: As we that at present only 20% of the population is covered under insurance. So it has become a necessary evil for the private life insurance companies to increase this ratio as the competition is growing in the market. 4) To Open New Branches: As almost all the companies are having more than one branch in Bangalore it suggested to the company to consider on this point.

 The benefits of computerization should be wide spread to all the departments The information in the website should be updated in a regular basis A special workshop needed to be organized for developing the personality of

the employees , at the initial stage, later stage and to be spread to all workers in the organization
A system of self appraisal should be carried out instead of manager expresses

his or her view on the employees standing in the organization. This system makes the employees to understand where he stands in the organization, the management can easily evaluate the past performance of employees based on self appraisal data by given by the employee.

 As almost all the companies are having more than one branch in Bangalore it

suggested to the company to consider on this point. There is news that insurance companies from foreign countries are entering in the Indian market, therefore they should be careful in deciding their plans.

Key Innovative End Products: The new entrants would survive for a long

period by adopting two prolonged strategies. First is to introduce innovative products offering a right mix of flexibility/ risk/return depending which will suit the appetite (needs ) of the customer and secondly, they would target specific niches, which are poorly served or not served at all.
Customer Service: The opening of insurance in India and the subsequent

entry of private players in the market broke down the entire approach to the customer service. The focus is now on offering quality products supported by rigorous service benchmarks across the life of the product. This is one area where all the players have to concentrate. Since customers satisfaction can only drive the demand of the individual products.

Conclusion:
Insurance is not a sophisticated industry, which may require the involvement of multinationals in order to obtain the latest technology. If we are keen on following the latest trends in the insurance business, we could directly employ some of the foreign experts at a pittance of cost rather than letting Indian money and capital be secreted abroad and there by depriving the country of vast investible funds-on false slogans on the benefit of globalization. The Indian insurance industry is still in its embryonic stage but has the potential to grow in to one of largest markets in the world within the foreseeable future. The Indian insurance sector is witnessing tremendous improvements in market expansion, product development, and customer service and distribution channels. The new players have taken their work seriously and steadily in increasing their market share.

BIBLIOG RAPHY:

Broachers of the company Marketing Management Human Resource Management Website: www.irdaindia.com :Philips Kotler :Ashwatappa