Description
Insurance is the pooling of fortuitous losses by transfer of such risk to insurers, who agreed to provide the pecuniary benefit on their occurance, or to render service connected with risk.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
"A study on Recruitment and Canne! De"e!o#ment at ICICI-Prudentia!"
The information given by you will be used only for the academic purpose, will be of
immense value and would assist me in this endeavor. Thus kindly co-operate.
1. Name :
2. ge :
!. "ender : #ale $emale
%. #arital &tatus : #arried 'nmarried
(. ddress :
). Telephone*#obile :
+. ,-mail :
-. .ualification :
/. 0ccupation :
11. 2ow did the company approach you for recruitment3
Telecalling dvertisements 4ersonal 5ontact 6 7eference
&elf-8nterest 0thers
11. 9hat made you
in the company as a $inancial dvisor3
#oney 5areer 7ewards 6 7ecognition ;rand 5ulture 4rofile 0thers
12. 2ow is the market for was set up as an independent regulatory authority, which has put in
place regulations in line with global norms. &o far in the private sector, 12 life insurance
companies and / general insurance companies have been registered.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
IN(URANCE RE%ULATOR& AND DEVELOPMENT AUTHORIT& ACT - ,---.
/I.R.D.A0
The ob:ect of this act is to provide for the establishment of an authority to protect the interest of
holders of insurance policies, to regulate, to promote and ensure orderly growth of insurance
industries. 8nsurance 7egulatory and >evelopment uthority G87>H has sought the comments of
industry participants to finaliAe the guidelines for online agentsB training institutes.
These proposed guidelines are in addition to its standard instructions and guidelines applicable
for approval*renewal of agentsB training institutes. The guidelines would be applicable to all the
online training institutes including in-house training institutes of the insurers.
s per the draft guidelines, the applicant should undergo at least 121 hours practical training in
life or general insurance business. The composite training should be for at least 1-1 hours, where
the applicant is seeking license for the first time to act as an insurance agent.
The duration should be minimum of 2% days for 121 hours training and !) days for 1-1 hours
training with a ma=imum five hours per day. &tating that no product training*market survey
should be included into this 121*1-1 hours training, the regulator said revision e=amination could
form part of the training.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Duties1 Po2ers and )unctions o) Autority3
•• The powers and functions of the authority include registration of insurers, intermediaries and
agents regulations of terms and conditions of contract of insurance, promoting and regulating
professional organiAations connected with the insurance, monitoring investment of funds and
solvency margin of insurance companies.
•• The authority is to be advised by a committee to be known as the insurance advisory
committee, which shall consists of not more than 2( members including e=-officio members
in the insurance sector. The insurance advisory committee is e=pected to advice the authority
on matters relating to making of the regulations
•• n 8ndian insurance company has been defined as a company incorporated under the
5ompanies ct - 1/() and the paid capital of "eneral 8nsurance business will have to be not
less than 7s 111*- 5rores and in case of companies wanting to transact reinsurance business
the paid capital will have to not less than 7s 211*- 5rores.
•• 8t has also been notified that every insurance company will have to appoint an ctuary to be
approved by 8.7.>.. The duty of the ctuary is to insure that
The assets are valued in appropriate manner
The liabilities are evaluated as reCuired
The prescribed margin for maintaining solvency is complied with.
•• The 8.7.>. also issued regulations with regards to advertisement so as to include
almost any public communication for a sale of insurance policy.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
THE 'UNDAMENTAL 4 PRINCIPAL( O' LA5 O' IN(URANCE.
UTMO(T %OOD 'AITH3 The parties to the commercial contract, according to the law are
reCuired to observe good faith. The seller cannot mislead the buyer in respect of transactions, but
he has no sub:ect of the contract, it is the buyerIs duty to be careful while entering into a contract.
6LET THE $U&ER $E A5AREB is a legal rule.
IN(URA$LE INTERE(T3 The owner of the property has a right under law to effect insurance
on the property if he is likely to suffer financially when property is lost or damaged. This legal
right to insure is called insurable interest, without insurable interest the contract of insurance will
be void. ;ecause of this legal reCuirement of insurable interest the insurance contracts are not
gambling transactions.
INDEMNIT&3 The principal of indemnity arises under common law and reCuires that an
insurance control should be a contract of indemnity only and nothing more. The ob:ect of
principal is to place the insured after a loss in the same financial position as far as possible, as he
is occupied immediately before the loss. The effect of this principal is to prevent the insured from
making the profit out of his loss or gaining any advantage or benefit. The ob:ect of a contract of
insurance is to protect the financial interest of the insured in the sub:ect matter of insurance.
(U$RO%ATION3 The principal of subrogation arises from the principal of indemnity.
&ubrogation may be defined as transfer of rights and remedies of the insured to the insurer who
has indemnified the insured in respect of the loss. 8f the insured has any rights of action to be
recovered the loss from any third party, who is primary responsible for the loss, the insurer
having paid the loss is entitled to avail himself of these rights to recover the loss from the third
party. The effect is that the insured does not receive more than actual amount of his loss and any
recovery affected from the third party goes to the benefit of the insurer to reduce the amount of
his loss
Insurance mar7et in India
;y any yardstick, 8ndia, with about 211 million middle class households, presents a huge
untapped potential for players in the insurance industry. &aturation of markets in many developed
economies has made the 8ndian market even more attractive for global insurance mars. :=
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
NCAER estimate is Insurance
Po#u!ation
:?; mn
Estimated mar7et :;,; -B,C
U8 ,:B;
U(A -D?
India ?
5learly, there is considerable scope to raise per capita life premium in the market is effectively
tapped. 8ndia has traditionally been a high savings oriented country often described as being on
par with thrifty @apan. 8nsurance sector in the '& is a big in the siAe as the banking industry there.
This gives us an idea of how important is the sector is. 8nsurance sector canaliAes the saving of
the people to long-term investments. 8n 8ndia where infrastructure is said to be critical
importance, this sector will bring the nations own money for the nation.
8n the three years time we would e=pect 11D of the population to be under some sort of an
insurance cover. Thus assuming a premium of 7s (111 on an average, 111 million 7s (111 L 7s
(11 billion.
This has made the sector the hottest one in 8ndia after 8T. 9ith social security and security to
public at large being the agenda for opening the sector, the role of the regulator becomes all the
more serious and one would be carefully watched at every step.
The 8nsurance 7egulator and >evelopment bill is now an ct. 9ith this 8ndia is now the cynosure
of all the global insurance players. Numerous player, both 8ndian and foreign have announced
their intention to start their insurance shops in 8ndia. 87>, under chairman ship of #r.
7N"5278, opened the window for applying license in 8ndia.
0ne of the main difference between the developed economies and the emerging economies is that
insurance products are bought in the former while these are sold in later. $ocus if insurance
industry is changing towards providing a mi= of both protection*risk cover and long-term
investment opportunities.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
WHY LIFE INSURANCE?
5H& LI'E IN(URANCEE
7sH are listed on the
New ?ork &tock ,=change GN?&,H.
s reCuired by the stock e=changes, 85858 ;ank has formulated a 5ode of ;usiness 5onduct and
,thics for its directors and employees.
t pril %, 211(, 85858 ;ank, with free float market capitaliAationO of about 7s. !1-.11 billion
G'&K +.11 billionH ranked third amongst all the companies listed on the 8ndian stock e=changes.
85858 ;ank was originally promoted in 1//% by 85858 7s
listed on the N?&, in fiscal 2111, 85858 ;ankBs acCuisition of ;ank of #adura %11 millionH.
0ver the last 1( years, 85858 Menture has been successful in identifying trends well ahead of the
curveE be it retail, media and entertainment, information technology, real estate or
pharmaceuticals and biotechnology. >uring this period 85858 Menture launched and managed -
funds with a corpus e=ceeding 7s. 21billion G'&> %11 millionH. ,ach fund had a distinct
investment theme and 85858 Menture today has some of the best known and managed companies
in 8ndia in its portfolio. 2erein 85858 Menture has followed the philosophy of being a multi-sector
player ensuring an optimum balance of risk and return to its investors.
85858 Menture has the distinction of managing a large number of e=its in the country. 9ith over
111 liCuidity events, the organiAation has reaped rich e=perience and is well positioned to handle
840s, strategic sale and*or mergers.
85858 Menture has a wide network of third party investors, which include domestic investors such
as public sector banks, financial institutions and insurance companies. significant portion of the
fundBs corpus is also from international development financial institutions and international funds.
The company has over 2( Cualified professionals with e=perience across sectors and functions.
The capabilities of the team, structure of the organiAation, emphasis on value creation and
performance evaluation matrices enable 85858 Menture to e=tract superior returns from its
investments.
85858 Menture has now launched the 8ndia dvantage $und, with a corpus of 7s.11 ;illion G'&>
22( millionH. The $und will invest in mid-siAed growth companies for funding through
e=pansions, acCuisitions and restructuring. The $und will also focus on meAAanine funding and
buyouts.
ICICI PRUDENTIAL
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
85858 47'>,NT8< evelopment uthority G87>H, and in the same time since, has taken several steps towards
realiAing its goal.
THE COMPAN&
85858 47'>,NT8< ,NT8< came together in 1//! to form prudential 85858 sset
#anagement 5ompany, which has today emerged as one of the leading mutual funds in 8ndia.
The two companies bring together two of the strongest financial service brands in sia, known
for their professionalism, e=cellent Cuality of service and long term commitment to customers.
7iding on the success of this relationship, the two companiesined hands once more in 2111, to
form 85858 47'>,NT8< ,NT8< life insurance has crossed 7s (11 crore premium income mark on #arch
!1, 211! having issued nearly !(1111 policies for a sum assured of 7s -+11 crore since its
inception.
The last fiscal had been significant growth for 85858 47'>,NT8< across all segments, with
2%)-2+ policies issued in the period pril 2112-#arch 211!, and 7s !%- 5rore premium from
new business in the same period, a 211 per cent growth over the previous fiscal Gpril 2111-
#arch 2112H.
The company had also met all its rural and social sector obligations, said a press release. The
growth been driven by pensions and unit linked products. 8t has garnered 2!D of pensions
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
premium amongst all players for the period pril 2112-$ebruary 211! and !%D in $eb alone.
Today the company has established itself the number one private life insurer in the country.
HI(TOR&3
8ncorporated on @uly 21, 2111 it is a +%:2),int venture between 85858 and 4rudential
plc of '.F. in November 2111, 85858 4rudential ecember 12, 2111.
&ear o) re"ie2 :;;:-:;;>3
85858 4rudential has consolidated its position as the leading private life insurer in 8ndia. 85858
4rudentialBs annualiAed premium grew more than three fold over the previous year. 5ontinuing
with its B5ustomer $irstB philosophy, 85858 4rudential has significantly e=panded its presence to
2/ operational ;ranches G2111-2112: 1)H, with the dvisor $orce growing to over 1-111. 8t has
also strengthened its lternate >istribution channels, i.e. ;ancassurance, 5orporate gents and
>irect #arketing, making purchase of insurance more accessible. ;ancassurance and
>irect #arketing channels have contributed to over 1-D of the nnualiAed 4remium.
85858 4rudential was amongst the first to identify the emerging opportunity in the 4ension
segment and launched two linked pension products eliver the promise.
• ,NT8< ,NT8< ,NT8< ,NT8< 7eassure is a retirement product for senior citiAens who are on the
verge of retirement or have :ust retired.
• 85858 47'>,NT8< also launched Jsalaam AindagiJ, a social sector group insurance policy
targeted at the economically under privileged sections of the society.
%rou# Insurance (o!utions
85858 47'>,NT8< also offers "roup 8nsurance &olutions for companies seeking to enhance
benefits to their employees.
85858 47'>,NT8< "roup "ratuity 4lan: 85858 4ruBs "roup "ratuity 4lan helps employers
fund their statutory gratuity obligation in a scientific manner. The plan can also be customiAed to
structure schemes that can provide benefits beyond the statutory obligations.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
ICICI PRUDENTIAL %ROUP (UPERANNUATION PLAN3
85858 4ru offers a fle=ible defined contribution superannuation scheme to provide a retirement
kitty for each member of the group. ,mployees have the option of choosing from various annuity
options or opting for a partial commutation of the annuity at the time of retirement.
ICICI PRUDENTIAL %ROUP TERM PLAN3
85858 4ruBs fle=ible group term solution helps to provide affordable cover to members of a group.
The cover could be uniform or based designation or rank or a multiple of salary. The benefit the
policy is paid to the beneficiary nominated by the member on his*her death.
'LE+I$LE RIDER OPTION(F
85858 47'>,NT8< life offers for fle=ible riders, which can be added to the basic policy at a
marginal cost, depending on the specific needs of the customer.
• ccident and disability benefit: if the death occurs as the result of an accident during the term
of the policy the beneficiary receives an additional amount eCual to the sum assured under the
policy. 8f the death occurs while
• . 5e!! Pre#ared Em#!oyee ReHuisition
• ,ssential functions should include the fundamentalb duties of the position.
• #inimum reCuirements should reflect skills, knowledge and abilities reCuired to
perform the essential functions of the position.
• >etermine if an e=ternal or internal recruitment will be reCuested.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
?. Ad"ertisin* P!an
• 7eview previous advertising response rates with 2uman 7esources.
• enmark,
"ermany, &pain, the Netherlands, @apan. '& etc. there is no reason, which we could think of
why 8ndia should not be a witness to this change, in fact this will further strengthen the financial
base of the country and will help in mobiliAing and channeling the much needed saving and
investments into the proper use.
,ntry of banks, into the insurance market by controversies and acceptance throughout the world.
#any people say that this is the invasion of insurance market by banks , which should be the
e=clusive domain of insurance companies .according to them bank have different market
G customers having e=cess* less fundsHand different product portfolio Gthat is various forma of
investing and leading products H similarly insurance companies are suppose to sell insurance
policies . however , we feel that this is very narrow concept of banking , which has being
propagated this situation is typical to what is being referred as marketing myopia by T. levitt in
his celebrated 2;7 article , in which the firms are products oriented and not market oriented . 8f
banks and insurance companies were to stick to this model they would soon fid themselves going
down the way the mighty '& railway companies have gone. &o we seek the best for them to
survive is to come together.
2aving established the need for relationship between the banks and insurance companies the ne=t
Cuestion, which arises. 8s that what is the like, whichins them. $or banks the core guiding
philosophy is money management, on the other hand, guiding philosophy of insurance firms is
risk management. 2owever both have a common market definition of being a provider of
financial services. 0nce this market is accepted it becomes imperative for insurance and banking
companies not to compete amongst each other rather the same pie. 0nce this view is accepted any
debate about the before mentioned threats should not sound very impressive. 2ere one should
remember that the partnership is of eCualier, any one trying to gain an upper hand will do so at
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
the detriment of his own interest to all those who are still not convinced by the argument, we
would like to say that dynamics decide the entry of banks into insurance if the customer feels that
he is getting better services, surely this is a viable and wanted marriage. The market should
decide who is better and in the long run only the competent business model will survive. part
from this, technological progress has made possible for each of the parties to offer such a wide
range of product to their customer that the dividing line between the insurance product and
banking products is getting blurred day by day. 2ence it makes sense for them to come closer to
closer to each other formally and strive for better customer services, as customer is the king.
;efore moving to bancassurane in 8ndia, we would like to throw some light on the evolution of
this industry world wide.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
METHODOLO%&
Te o9Kecti"e o) te #resent study can 9e accom#!ised 9y conductin* a systematic
mar7et researc. Mar7et researc is te systematic desi*n1 co!!ection1 ana!ysis and
re#ortin* o) data and )indin*s tat are re!e"ant to di))erent mar7etin* situations )acin*
te com#any. Te mar7etin* researc #rocess tat 2i!! 9e ado#ted in te #resent study
2i!! consist o) te )o!!o2in* sta*es3
a. De)inin* te #ro9!em and te researc o9Kecti"e: The research ob:ective states what
information is needed to solve the problem. The ob:ective of the research is to analyAe which is the
highly preferred and sold policy in 85858 47'>,NT8<
9. De"e!o#in* te researc #!an3 0nce the problem is identified, the ne=t step is to prepare a
plan for getting the information needed for the research. The present study will adopt the
e=ploratory approach wherein there is a need to gather large amount of information before
making a conclusion. 8f reCuired, the descriptive and casual approaches may also be used.
c. Co!!ection and (ources o) data3 #arket research reCuires two kinds of data, i.e., 4rimary data
and secondary data. ;eing a firm in the ;anking industry, data gathering will involve usage of
both primary and secondary data though there will be an e=tensive usage of primary data. 9ell-
structured Cuestionnaires will be prepared for both e=isting as well as non-e=isting clients. There
will be personal interview, surveys. The Cuestionnaires will contain close-ended Cuestions.
&econdary data will be collected from variousurnals, books and web sites
d. Ana!yJe te co!!ected in)ormation3 This involves converting raw data into useful
information. 8t involves tabulation of data, using statistical measures on them for developing
freCuency distributions and calculating the averages and dispersions.
e. Re#ort researc )indin*s3 This phase will mark the culmination of the marketing research
effort. The report with the research findings is a formal written document. The research findings
and personal e=perience will be used to propose recommendations
(am#!in* P!an3
(am#!in* Units3 The respondents, i.e., the dvisors of 85858 4rudential.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
FINDINGS AND ANALYSIS
ANLA&(I( O' THE LUE(TIONNAIRE O' THE ADVI(OR(
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
,;. Ho2 did te com#any a##roac you )or recruitmentE
4articulars 4ercentage
Tele calling 1%.2-)
dvertisements %.+)2
4ersonal contact and
references %2.-(+
&elf interest !!.!!!
0thers %.+)2
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Approach for Recruittmnet by the company
14.286
4.762
42.857
33.333
4.762
0
5
10
15
20
25
30
35
40
45
Tele calling Adversitments Personal
contact and
refercences
Self interset otrhers
This shows the pproach used by the company for recruitment and one of the mar approach is
through personal contact and references. 9ith the percentage level of %2.-(+
,,. 5at made you Koin te or*aniJation as 'inancia! Ad"isorE
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
4articulars 4ercentage
#oney !-.1/(
5areer 2-.(+1
7ewards and
recognitions %.+)2
;rand 1%.2-)
5ulture /.(2%
4rofile itself %.+)2
0thers 1
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
38.05
28.571
4.762
14.286
.524
4.762
0
5
10
15
20
25
30
35
40
!
o
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2ere we understand that what motivates being an dvisor in this company. nd many of
them feel that the career which drives them the most.
,:. Ho2 is te mar7et )or !i)e InsuranceE
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Particu!ars Percenta*e
,=cellent !-.1/(
"ood %2.-(+
$air 1%.2-)
verage %.+)2
4oor 1
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Market For Insurance
38.05
42.857
14.286
4.762
0
0
5
10
15
20
25
30
35
40
45
()cellent *ood +air Average Poor
• This showcase the market for 8nsurance.
• The mar chunk says that it is good with the %2.-(+ percentages.
• This shows that it has good market.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
,>. 5at is your A##roMimate Mont!y incomeE
4articulars 4ercentage
Insurance is the pooling of fortuitous losses by transfer of such risk to insurers, who agreed to provide the pecuniary benefit on their occurance, or to render service connected with risk.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
"A study on Recruitment and Canne! De"e!o#ment at ICICI-Prudentia!"
The information given by you will be used only for the academic purpose, will be of
immense value and would assist me in this endeavor. Thus kindly co-operate.
1. Name :
2. ge :
!. "ender : #ale $emale
%. #arital &tatus : #arried 'nmarried
(. ddress :
). Telephone*#obile :
+. ,-mail :
-. .ualification :
/. 0ccupation :
11. 2ow did the company approach you for recruitment3
Telecalling dvertisements 4ersonal 5ontact 6 7eference
&elf-8nterest 0thers
11. 9hat made you
in the company as a $inancial dvisor3#oney 5areer 7ewards 6 7ecognition ;rand 5ulture 4rofile 0thers
12. 2ow is the market for was set up as an independent regulatory authority, which has put in
place regulations in line with global norms. &o far in the private sector, 12 life insurance
companies and / general insurance companies have been registered.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
IN(URANCE RE%ULATOR& AND DEVELOPMENT AUTHORIT& ACT - ,---.
/I.R.D.A0
The ob:ect of this act is to provide for the establishment of an authority to protect the interest of
holders of insurance policies, to regulate, to promote and ensure orderly growth of insurance
industries. 8nsurance 7egulatory and >evelopment uthority G87>H has sought the comments of
industry participants to finaliAe the guidelines for online agentsB training institutes.
These proposed guidelines are in addition to its standard instructions and guidelines applicable
for approval*renewal of agentsB training institutes. The guidelines would be applicable to all the
online training institutes including in-house training institutes of the insurers.
s per the draft guidelines, the applicant should undergo at least 121 hours practical training in
life or general insurance business. The composite training should be for at least 1-1 hours, where
the applicant is seeking license for the first time to act as an insurance agent.
The duration should be minimum of 2% days for 121 hours training and !) days for 1-1 hours
training with a ma=imum five hours per day. &tating that no product training*market survey
should be included into this 121*1-1 hours training, the regulator said revision e=amination could
form part of the training.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Duties1 Po2ers and )unctions o) Autority3
•• The powers and functions of the authority include registration of insurers, intermediaries and
agents regulations of terms and conditions of contract of insurance, promoting and regulating
professional organiAations connected with the insurance, monitoring investment of funds and
solvency margin of insurance companies.
•• The authority is to be advised by a committee to be known as the insurance advisory
committee, which shall consists of not more than 2( members including e=-officio members
in the insurance sector. The insurance advisory committee is e=pected to advice the authority
on matters relating to making of the regulations
•• n 8ndian insurance company has been defined as a company incorporated under the
5ompanies ct - 1/() and the paid capital of "eneral 8nsurance business will have to be not
less than 7s 111*- 5rores and in case of companies wanting to transact reinsurance business
the paid capital will have to not less than 7s 211*- 5rores.
•• 8t has also been notified that every insurance company will have to appoint an ctuary to be
approved by 8.7.>.. The duty of the ctuary is to insure that
The assets are valued in appropriate manner
The liabilities are evaluated as reCuired
The prescribed margin for maintaining solvency is complied with.
•• The 8.7.>. also issued regulations with regards to advertisement so as to include
almost any public communication for a sale of insurance policy.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
THE 'UNDAMENTAL 4 PRINCIPAL( O' LA5 O' IN(URANCE.
UTMO(T %OOD 'AITH3 The parties to the commercial contract, according to the law are
reCuired to observe good faith. The seller cannot mislead the buyer in respect of transactions, but
he has no sub:ect of the contract, it is the buyerIs duty to be careful while entering into a contract.
6LET THE $U&ER $E A5AREB is a legal rule.
IN(URA$LE INTERE(T3 The owner of the property has a right under law to effect insurance
on the property if he is likely to suffer financially when property is lost or damaged. This legal
right to insure is called insurable interest, without insurable interest the contract of insurance will
be void. ;ecause of this legal reCuirement of insurable interest the insurance contracts are not
gambling transactions.
INDEMNIT&3 The principal of indemnity arises under common law and reCuires that an
insurance control should be a contract of indemnity only and nothing more. The ob:ect of
principal is to place the insured after a loss in the same financial position as far as possible, as he
is occupied immediately before the loss. The effect of this principal is to prevent the insured from
making the profit out of his loss or gaining any advantage or benefit. The ob:ect of a contract of
insurance is to protect the financial interest of the insured in the sub:ect matter of insurance.
(U$RO%ATION3 The principal of subrogation arises from the principal of indemnity.
&ubrogation may be defined as transfer of rights and remedies of the insured to the insurer who
has indemnified the insured in respect of the loss. 8f the insured has any rights of action to be
recovered the loss from any third party, who is primary responsible for the loss, the insurer
having paid the loss is entitled to avail himself of these rights to recover the loss from the third
party. The effect is that the insured does not receive more than actual amount of his loss and any
recovery affected from the third party goes to the benefit of the insurer to reduce the amount of
his loss
Insurance mar7et in India
;y any yardstick, 8ndia, with about 211 million middle class households, presents a huge
untapped potential for players in the insurance industry. &aturation of markets in many developed
economies has made the 8ndian market even more attractive for global insurance ma
rs. :=RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
NCAER estimate is Insurance
Po#u!ation
:?; mn
Estimated mar7et :;,; -B,C
U8 ,:B;
U(A -D?
India ?
5learly, there is considerable scope to raise per capita life premium in the market is effectively
tapped. 8ndia has traditionally been a high savings oriented country often described as being on
par with thrifty @apan. 8nsurance sector in the '& is a big in the siAe as the banking industry there.
This gives us an idea of how important is the sector is. 8nsurance sector canaliAes the saving of
the people to long-term investments. 8n 8ndia where infrastructure is said to be critical
importance, this sector will bring the nations own money for the nation.
8n the three years time we would e=pect 11D of the population to be under some sort of an
insurance cover. Thus assuming a premium of 7s (111 on an average, 111 million 7s (111 L 7s
(11 billion.
This has made the sector the hottest one in 8ndia after 8T. 9ith social security and security to
public at large being the agenda for opening the sector, the role of the regulator becomes all the
more serious and one would be carefully watched at every step.
The 8nsurance 7egulator and >evelopment bill is now an ct. 9ith this 8ndia is now the cynosure
of all the global insurance players. Numerous player, both 8ndian and foreign have announced
their intention to start their insurance shops in 8ndia. 87>, under chairman ship of #r.
7N"5278, opened the window for applying license in 8ndia.
0ne of the main difference between the developed economies and the emerging economies is that
insurance products are bought in the former while these are sold in later. $ocus if insurance
industry is changing towards providing a mi= of both protection*risk cover and long-term
investment opportunities.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
WHY LIFE INSURANCE?
5H& LI'E IN(URANCEE
7sH are listed on the
New ?ork &tock ,=change GN?&,H.
s reCuired by the stock e=changes, 85858 ;ank has formulated a 5ode of ;usiness 5onduct and
,thics for its directors and employees.
t pril %, 211(, 85858 ;ank, with free float market capitaliAationO of about 7s. !1-.11 billion
G'&K +.11 billionH ranked third amongst all the companies listed on the 8ndian stock e=changes.
85858 ;ank was originally promoted in 1//% by 85858 7s
listed on the N?&, in fiscal 2111, 85858 ;ankBs acCuisition of ;ank of #adura %11 millionH.
0ver the last 1( years, 85858 Menture has been successful in identifying trends well ahead of the
curveE be it retail, media and entertainment, information technology, real estate or
pharmaceuticals and biotechnology. >uring this period 85858 Menture launched and managed -
funds with a corpus e=ceeding 7s. 21billion G'&> %11 millionH. ,ach fund had a distinct
investment theme and 85858 Menture today has some of the best known and managed companies
in 8ndia in its portfolio. 2erein 85858 Menture has followed the philosophy of being a multi-sector
player ensuring an optimum balance of risk and return to its investors.
85858 Menture has the distinction of managing a large number of e=its in the country. 9ith over
111 liCuidity events, the organiAation has reaped rich e=perience and is well positioned to handle
840s, strategic sale and*or mergers.
85858 Menture has a wide network of third party investors, which include domestic investors such
as public sector banks, financial institutions and insurance companies. significant portion of the
fundBs corpus is also from international development financial institutions and international funds.
The company has over 2( Cualified professionals with e=perience across sectors and functions.
The capabilities of the team, structure of the organiAation, emphasis on value creation and
performance evaluation matrices enable 85858 Menture to e=tract superior returns from its
investments.
85858 Menture has now launched the 8ndia dvantage $und, with a corpus of 7s.11 ;illion G'&>
22( millionH. The $und will invest in mid-siAed growth companies for funding through
e=pansions, acCuisitions and restructuring. The $und will also focus on meAAanine funding and
buyouts.
ICICI PRUDENTIAL
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
85858 47'>,NT8< evelopment uthority G87>H, and in the same time since, has taken several steps towards
realiAing its goal.
THE COMPAN&
85858 47'>,NT8< ,NT8< came together in 1//! to form prudential 85858 sset
#anagement 5ompany, which has today emerged as one of the leading mutual funds in 8ndia.
The two companies bring together two of the strongest financial service brands in sia, known
for their professionalism, e=cellent Cuality of service and long term commitment to customers.
7iding on the success of this relationship, the two companies
ined hands once more in 2111, toform 85858 47'>,NT8< ,NT8< life insurance has crossed 7s (11 crore premium income mark on #arch
!1, 211! having issued nearly !(1111 policies for a sum assured of 7s -+11 crore since its
inception.
The last fiscal had been significant growth for 85858 47'>,NT8< across all segments, with
2%)-2+ policies issued in the period pril 2112-#arch 211!, and 7s !%- 5rore premium from
new business in the same period, a 211 per cent growth over the previous fiscal Gpril 2111-
#arch 2112H.
The company had also met all its rural and social sector obligations, said a press release. The
growth been driven by pensions and unit linked products. 8t has garnered 2!D of pensions
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
premium amongst all players for the period pril 2112-$ebruary 211! and !%D in $eb alone.
Today the company has established itself the number one private life insurer in the country.
HI(TOR&3
8ncorporated on @uly 21, 2111 it is a +%:2),
int venture between 85858 and 4rudentialplc of '.F. in November 2111, 85858 4rudential ecember 12, 2111.
&ear o) re"ie2 :;;:-:;;>3
85858 4rudential has consolidated its position as the leading private life insurer in 8ndia. 85858
4rudentialBs annualiAed premium grew more than three fold over the previous year. 5ontinuing
with its B5ustomer $irstB philosophy, 85858 4rudential has significantly e=panded its presence to
2/ operational ;ranches G2111-2112: 1)H, with the dvisor $orce growing to over 1-111. 8t has
also strengthened its lternate >istribution channels, i.e. ;ancassurance, 5orporate gents and
>irect #arketing, making purchase of insurance more accessible. ;ancassurance and
>irect #arketing channels have contributed to over 1-D of the nnualiAed 4remium.
85858 4rudential was amongst the first to identify the emerging opportunity in the 4ension
segment and launched two linked pension products eliver the promise.
• ,NT8< ,NT8< ,NT8< ,NT8< 7eassure is a retirement product for senior citiAens who are on the
verge of retirement or have :ust retired.
• 85858 47'>,NT8< also launched Jsalaam AindagiJ, a social sector group insurance policy
targeted at the economically under privileged sections of the society.
%rou# Insurance (o!utions
85858 47'>,NT8< also offers "roup 8nsurance &olutions for companies seeking to enhance
benefits to their employees.
85858 47'>,NT8< "roup "ratuity 4lan: 85858 4ruBs "roup "ratuity 4lan helps employers
fund their statutory gratuity obligation in a scientific manner. The plan can also be customiAed to
structure schemes that can provide benefits beyond the statutory obligations.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
ICICI PRUDENTIAL %ROUP (UPERANNUATION PLAN3
85858 4ru offers a fle=ible defined contribution superannuation scheme to provide a retirement
kitty for each member of the group. ,mployees have the option of choosing from various annuity
options or opting for a partial commutation of the annuity at the time of retirement.
ICICI PRUDENTIAL %ROUP TERM PLAN3
85858 4ruBs fle=ible group term solution helps to provide affordable cover to members of a group.
The cover could be uniform or based designation or rank or a multiple of salary. The benefit the
policy is paid to the beneficiary nominated by the member on his*her death.
'LE+I$LE RIDER OPTION(F
85858 47'>,NT8< life offers for fle=ible riders, which can be added to the basic policy at a
marginal cost, depending on the specific needs of the customer.
• ccident and disability benefit: if the death occurs as the result of an accident during the term
of the policy the beneficiary receives an additional amount eCual to the sum assured under the
policy. 8f the death occurs while
• . 5e!! Pre#ared Em#!oyee ReHuisition
• ,ssential functions should include the fundamental
b duties of the position.• #inimum reCuirements should reflect skills, knowledge and abilities reCuired to
perform the essential functions of the position.
• >etermine if an e=ternal or internal recruitment will be reCuested.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
?. Ad"ertisin* P!an
• 7eview previous advertising response rates with 2uman 7esources.
• enmark,
"ermany, &pain, the Netherlands, @apan. '& etc. there is no reason, which we could think of
why 8ndia should not be a witness to this change, in fact this will further strengthen the financial
base of the country and will help in mobiliAing and channeling the much needed saving and
investments into the proper use.
,ntry of banks, into the insurance market by controversies and acceptance throughout the world.
#any people say that this is the invasion of insurance market by banks , which should be the
e=clusive domain of insurance companies .according to them bank have different market
G customers having e=cess* less fundsHand different product portfolio Gthat is various forma of
investing and leading products H similarly insurance companies are suppose to sell insurance
policies . however , we feel that this is very narrow concept of banking , which has being
propagated this situation is typical to what is being referred as marketing myopia by T. levitt in
his celebrated 2;7 article , in which the firms are products oriented and not market oriented . 8f
banks and insurance companies were to stick to this model they would soon fid themselves going
down the way the mighty '& railway companies have gone. &o we seek the best for them to
survive is to come together.
2aving established the need for relationship between the banks and insurance companies the ne=t
Cuestion, which arises. 8s that what is the like, which
ins them. $or banks the core guidingphilosophy is money management, on the other hand, guiding philosophy of insurance firms is
risk management. 2owever both have a common market definition of being a provider of
financial services. 0nce this market is accepted it becomes imperative for insurance and banking
companies not to compete amongst each other rather the same pie. 0nce this view is accepted any
debate about the before mentioned threats should not sound very impressive. 2ere one should
remember that the partnership is of eCualier, any one trying to gain an upper hand will do so at
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
the detriment of his own interest to all those who are still not convinced by the argument, we
would like to say that dynamics decide the entry of banks into insurance if the customer feels that
he is getting better services, surely this is a viable and wanted marriage. The market should
decide who is better and in the long run only the competent business model will survive. part
from this, technological progress has made possible for each of the parties to offer such a wide
range of product to their customer that the dividing line between the insurance product and
banking products is getting blurred day by day. 2ence it makes sense for them to come closer to
closer to each other formally and strive for better customer services, as customer is the king.
;efore moving to bancassurane in 8ndia, we would like to throw some light on the evolution of
this industry world wide.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
METHODOLO%&
Te o9Kecti"e o) te #resent study can 9e accom#!ised 9y conductin* a systematic
mar7et researc. Mar7et researc is te systematic desi*n1 co!!ection1 ana!ysis and
re#ortin* o) data and )indin*s tat are re!e"ant to di))erent mar7etin* situations )acin*
te com#any. Te mar7etin* researc #rocess tat 2i!! 9e ado#ted in te #resent study
2i!! consist o) te )o!!o2in* sta*es3
a. De)inin* te #ro9!em and te researc o9Kecti"e: The research ob:ective states what
information is needed to solve the problem. The ob:ective of the research is to analyAe which is the
highly preferred and sold policy in 85858 47'>,NT8<
9. De"e!o#in* te researc #!an3 0nce the problem is identified, the ne=t step is to prepare a
plan for getting the information needed for the research. The present study will adopt the
e=ploratory approach wherein there is a need to gather large amount of information before
making a conclusion. 8f reCuired, the descriptive and casual approaches may also be used.
c. Co!!ection and (ources o) data3 #arket research reCuires two kinds of data, i.e., 4rimary data
and secondary data. ;eing a firm in the ;anking industry, data gathering will involve usage of
both primary and secondary data though there will be an e=tensive usage of primary data. 9ell-
structured Cuestionnaires will be prepared for both e=isting as well as non-e=isting clients. There
will be personal interview, surveys. The Cuestionnaires will contain close-ended Cuestions.
&econdary data will be collected from various
urnals, books and web sitesd. Ana!yJe te co!!ected in)ormation3 This involves converting raw data into useful
information. 8t involves tabulation of data, using statistical measures on them for developing
freCuency distributions and calculating the averages and dispersions.
e. Re#ort researc )indin*s3 This phase will mark the culmination of the marketing research
effort. The report with the research findings is a formal written document. The research findings
and personal e=perience will be used to propose recommendations
(am#!in* P!an3
(am#!in* Units3 The respondents, i.e., the dvisors of 85858 4rudential.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
FINDINGS AND ANALYSIS
ANLA&(I( O' THE LUE(TIONNAIRE O' THE ADVI(OR(
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
,;. Ho2 did te com#any a##roac you )or recruitmentE
4articulars 4ercentage
Tele calling 1%.2-)
dvertisements %.+)2
4ersonal contact and
references %2.-(+
&elf interest !!.!!!
0thers %.+)2
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Approach for Recruittmnet by the company
14.286
4.762
42.857
33.333
4.762
0
5
10
15
20
25
30
35
40
45
Tele calling Adversitments Personal
contact and
refercences
Self interset otrhers
This shows the pproach used by the company for recruitment and one of the ma
r approach isthrough personal contact and references. 9ith the percentage level of %2.-(+
,,. 5at made you Koin te or*aniJation as 'inancia! Ad"isorE
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
4articulars 4ercentage
#oney !-.1/(
5areer 2-.(+1
7ewards and
recognitions %.+)2
;rand 1%.2-)
5ulture /.(2%
4rofile itself %.+)2
0thers 1
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
38.05
28.571
4.762
14.286
.524
4.762
0
5
10
15
20
25
30
35
40
!
o
n
e
"
#
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s
2ere we understand that what motivates being an dvisor in this company. nd many of
them feel that the career which drives them the most.
,:. Ho2 is te mar7et )or !i)e InsuranceE
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Particu!ars Percenta*e
,=cellent !-.1/(
"ood %2.-(+
$air 1%.2-)
verage %.+)2
4oor 1
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
Market For Insurance
38.05
42.857
14.286
4.762
0
0
5
10
15
20
25
30
35
40
45
()cellent *ood +air Average Poor
• This showcase the market for 8nsurance.
• The ma
r chunk says that it is good with the %2.-(+ percentages.• This shows that it has good market.
RECRUITMENT AND CHANNEL DEVELOPMENTAT ICICI-PRUDENTIAL
,>. 5at is your A##roMimate Mont!y incomeE
4articulars 4ercentage