CHAPTER I:
CONCEPTUAL
FRAMEWORK
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1.1 INTODUCTION
Insurance is not the sale of products, but servicing customers. It is a system, by which the
losses suffered by a few are spread over many, Exposed to similar risks. Insurance is a
protection against financial loss arising on the happening of an unexpected event. Insurance
companies collect premiums to provide for this protection. A loss is paid out of the premiums
collected from the insuring public and the Insurance Companies act as trustees to the amount
collected. The very fundamental principle of spreading of the risk is actually practiced by the
insurance companies by reinsuring the risks that they have insured. The opening up of the
Insurance Sector to Private Companies, has made available more products and world class
service to Indian Customer.
This project has been made with an objective to give an insight into various facts of
General Insurance sector in India. An attempt has been made to explain the apex body of
General Insurance. i.e. General Insurance Corporation of India, its structure, products and
subsidiaries.
Also the review of latest entrants into insurance sector viz. private players like Bajaj
Allianz General Insurance Company, TATA AIG General Insurance Company, Reliance
General Insurance Company limited, IFFCO Tokyo General Insurance Company, Royal
Sundaram General Insurance Company limited and ICICI Lombard General Insurance
Company have been described in brief, Due to the growth in the technological sector of the
country, the insurance companies have started utilizing these technologies to it‚as optimum
level.
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BRAND AWARENESS
“Marketing is a social process by which individuals and groups obtain what they need
and want through creating, offering and freely exchanging product and services of values and
others”.
Scope of Marketing: - Marketing is typically seen as the task of creating, promoting and
delivering goods and services to consumers and business.
Effective marketing can take many forms it can be entrepreneurial, formulated
or entrepreneurial and marketers are involved in marketing many types of entities, goods,
services, experiences, events, persons, places, properties, organizations, information and
ideas.
Marketing is the process of focusing the resources and objectives of an
organization on environmental opportunities and needs. The first and most fundamental fact
about marketing is that it’s a universal discipline. Marketing is a set of concepts, tools,
theories, practices and procedures and experience together these elements constitute a
teachable and learnable body of knowledge. Although marketing is universal marketing
practice of course, varies from country to country. Each person is unique and each country is
unique.
The three principles of Marketing: The essence of marketing can be summarized in the three great principles. The first
identifies the purpose and task of marketing, the second the competitive reality of marketing
and the third the principles for achieving the first two.
a.
Customer value and the value equation: The task of marketing is to create customer value that is greater than the value
created by competitors. The value equation is V=B/P is a guide to this task. As suggested in
the equation, expanding or improving product and/or service benefits, by reducing the price
or by a combination of these elements, can increase value for the customer. Companies with a
cost advantage can use price as a competitive weapon. Knowledge of the customer combined
with innovation and creativity can lead to a total offering that offers superior customer value.
Of the benefits are strong enough and valued enough by customers a company does not need
to be the low-price competitor to win customers.
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b.
Competitive or differential advantage: The second great principle of marketing is competitive advantage. A competitive
advantage is a total offer, vis-à-vis relevant competition that is more attractive to customers.
The advantage can exist in any elements of the company’s offer. The product, the price, the
advertising and point-of-sale promotion, or the distribution of product. One of the most
strategies for penetrating a new national market is to offer a superior product at a lower price.
The price advantage will get immediate customer attention, and for those customers who
purchase the product, the superior quality will make on impression.
c.
Focus: The third marketing principle is focus or the concentration of attention. Focus
required succeeding in the task of creating customer value at a competitive advantage. All
great enterprises, large and small are successful because they have understood and applied
this great principle.
A clear focus on customer needs and wants and on the competitive offer is required to
mobilize the effort needed to maintain a differential advantage. Only focusing or
concentrating resources can accomplish this and efforts on customer need and wants and on
how to deliver a product that will meet those needs and wants.
Brand: - Branding is the art and cornerstone of marketing. The American marketing
association defines a brand as a name, term, sign, symbol, or design, or a combination of
them, intended to identify the goods or services or one seller or group of seller and to
differentiate them from those of competitors. Thus a brand identifies the seller or marker.
Brand is different form other assets such as patents and copyrights, which have expiration
dates. A brand is a complex symbol that can convey up to six levels of meaning.
1) Attributes: - A brand brings to mind certain attributes Mercedes suggests expensive, wellbuilt, well-engineered, durable, high-prestige automobiles.
2) Benefits: - Attitudes must be translated into functional and emotional benefits. The
attribute “durable” could translate into the functional benefit “I won’t have to buy another car
for several years.” The attribute expensive translated into the emotional benefit. “ the car
makes me feel important and admired”.
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3) Values: - The brand also says some thing about the producer’s values. Mercedes stands
for high performance, safety and prestige.
4) Culture: - The brand may represent a certain culture. The Mercedes represents germen
culture organized, efficient, high quality.
5) Personality: - The brand can project a certain personality. Mercedes may suggest a nononsense person, a reigning lion (animal) or an austere palace.
6) User: - The brand suggests the kind or consumer who buys or uses the product. We
expect to see a 55-year old top executive behind the wheel of a Mercedes, not a 20-year-old
secretary.
Companies need to research the position their brand occupies in the customers minds. “What
distinguishes a brand form its unbranded commodity counterparts is the consumer’s
perceptions and feelings about the product’s attributes and how they perform ultimately, a
brand resides in the mind of consumers”.
There are three commonly used research approaches to get at brand meaning: 1)
Word associations: - People can be asked what words come to mind when they hear
the brands name. For example Mc Donald’s, they probably would mention hamburgers, fast
food, friendly service, fun and children. They mention some negative words such as high
calories and fatty food. They may mention some words unique to Mc Donald’s such as
Ronald Mc Donald, Golden Arches and children’s hospitals. Mc Donald’s would try to
emphasize the positive and unique words and try to reduce the cause-giving rise to the
negative words.
2)
Personifying the brand: - People can be asked to describe what kind of person or
animal they think of when the brand is mentioned. For example, they may say that the John
Deere brand makes them think of a rugged Midwestern male who is hardworking and trust
worthy. The brand person delivers a picture of the more human qualities of the brand.
3)
Laddering up to find the brand essence: - Brand essence relates to the deeper, more
abstract goals consumers are trying to satisfy with the brand.
Marketers must decide at which levels to anchor the brand’s identity. A brand pyramid in
constructing the image of a brand. At the lowest level are the brand attributes. And brand
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benefits at the top are the brand’s beliefs and values. A brand can be better positioned by
associating its name with a desirable benefit. Building the brand identity requires additional
decisions on the brand’s name, logo, colors, taglines and symbol. Some times a brand is
much more than name, logo, colors, a tagline, and symbol. There are marketing tools and
tactics. A brand is essentially a marketer’s promise to deliver a specific set of features,
benefits and services consistently to the buyers. The marketers must establish a mission for
the brand and a vision of what the brand must be and do.
The brand campaign will create name recognition, some brand knowledge, even some
brand preferences, but an ad campaign does not create brand bonding, no matter how much
the company spends on advertising and publicity. Brand bonding occurs when customers
experience the company as delivering on its benefits promise. The fact is that “brands are not
built by advertising but by the brand experience”.
BRAND AWARENESS: Brand Awareness definition and importance: The act of creating public awareness of a specific brand in order to maximize its
recognition, successful brand awareness strategies should define a company’s uniqueness and
set it apart from competitors. Quite simply, if potential customers do not know about a
company, they will not purchase from it. Therefore, one the prominent goals of any business
should be to build brand awareness, albeit in as cost-effective manner as possible.
Consumers tend to make purchasing decisions based on peer recommendations and direct
experience as well as traditional advertising methods. This is why it is necessary to build
brand awareness strategies out by instilling trust among consumers. This trust must be
achieved through credibility, rather than just a catchy advertising campaign. Promotional
marketing involving a one-to-one component is proving increasingly effective at building
trust and acquiring new customers.
Brand Awareness development: Establishing on effective strategy to ensure brand success, the brand development
process consists of creating advertising and marketing campaigns that portray a message to
potential and existing clints in an attractive, unique and informative manner, successfully
positioning the brand above competitors.
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Factors in brand development and marketing should include how consumers perceive
the brand and what it means to them, what the potential positives and negatives of the brand
consists of, and how the brand is positioned to competitors within market place. A major part
of the brand development process consists of defining the benefits, which should makeup the
foundation of the advertising and marketing efforts.
Brand development and marketing has been around for centuries, but today’s
consumer has access to information and the opportunity to make more choices than ever
before. Therefore, the average consumer expects more. The long-term brand development
proves now requires innovative, compelling and consistent activities.
Identifying where a specific brand is placed within the marketplace and its
relationship to competitive brands, brand positioning is determined by defining the brand’s
benefits to the consumer, opportunities for which the brand is best suited, the brand’s target
audience, and who its main competitors are.
To achieve the benefits of brand positioning, it is necessary to research in-depth the
market position of the brand. Brand maps and forms are created to profile the brand
positioning, comparing the results with competitive brands. In realizing the benefits of brand
positioning, it is important to understand that not all brands are competitors.
A consumer may be presented with six brands of one product and only consider three
out of the six as a purchasing choice. The consumer may have encountered a negative
experience with a specific brand and may never consider purchasing it again, or there may be
a brand that simply does not stand out to the consumers and it is passed up.
Brand Marketing: Creating and implementing strategically sound programs, integrating brand-marketing
programs are designed to increase market share in an ever changing and demanding
environment by keeping the brand a head of competition. A successful brand marketing
strategy is an essential function of any successful business that has a goal of long-term
success.
Integrating brand marketing consists of determining the needs and wants of potential
customers, developing a sound brand marketing strategy to meet those needs and wants, and
executing a plan that incorporates the brand marketing strategy focused around the specific
brand being marketed. Integrated brand marketed strategy focused around the specific brand
being marketed. Integrated brand marketing is more significant in today’s arena because the
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competition is greater, as well as the technology to assist in the dissemination of information
surrounding brands.
A strong brand marketing strategy necessitates researching the market position of the
brand. Once the research has been defined and conducted, the company then conducts a
comparison analysis of the brand and its competitors. Finding out how consumers categorize
brands is critical in establishing an effective, integrated brand marketing strategy.
Creating Brand Awareness: Consumer goods manufacturers face unique challenges when rolling out CRM
applications, compared with other industries such as insurance or finance. For one thing they
don’t typically focus on supporting call centers or remote sales forces automation process, but
rather on building better marketing and sales campaigns and them generally don’t have direct
contact with the end consumer but rather deal exclusively with a middleman retailer or
product distributor.
This complex sales process means consumer goods manufacturers tend to focus on
product branding rather than on direct sales. As a result, one of the industry’s biggest
problems is getting advanced analytical CRM tools that can decipher just how well each
branding campaign working at each outlet.
CRM products for trade promotion and rudimentary customer analysis have been
around for years, say Doug Turk, and analyst at in Forte Corporation, a high-tech consultancy
in chicogo. But now, he says, the major CRM vendors, such as SAP AG and San Mateo,
Calif-based Siebel system Inc., are starting to sell specific. CRM add-ons for consumer goods
manufacturers to help set prices for marketing campaigns and brand management.
Marketing is not a one-time process or an act.This is particularly so when the
intention is to build long-term brand salience, which requires months or years of practice and
dedication for deriving long-term benefits. It is an act where the message to be delivered is
reinforced, re-shaped, re-tuned and re-focused over time so as to get the most desirable
results among the target audience with the least financial burden on the advertiser.
Primary among the factors which play a crucial role in this activity is choosing the right
medium. This is more so where the brand or the product in question is not just a daily use
product but a product or service which stands for highest amount of integrity, safety and
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security – where based on the advertising investors put in their hard-earned money - like
mutual funds, fixed deposits, stocks, insurance plans etc.
Studies reveal that when message of such sensitive nature is to be passed
on to such discerned audience nothing gives better results that than print media which is
supreme in building long term brand salience, loyalty and recall.
Currently estimated to have a market size in the range of $ 16 billion (Rs 70,000 crore in
premium), the privatization of insurance industry threw up several challenges for existing
public sector and new players in the industry. While existing players - Life Insurance
Corporation (LIC) and General Insurance Corporation and its subsidiaries – were threatened
with the fact that their long-held monopolies were to be challenged by new players, the new
entrants were also facing a Herculean task of not only generating awareness and brand loyalty
for their products among new customers but also weaning away loyal customers of existing
players.
India, which ranks 78th in terms of insurance density, and 49th in terms of
insurance penetration was an attractive market as seen from the fact that insurance
penetration (measured by premium earned as a percentage of GDP) for year 2000 was just
2.32 as against 13.05 for South Korea, 10.92 for Japan, 8.76 for US, 15.78 for UK and 9.41
for Australia.
The first and foremost thing the insurance companies planned to do was raise brand
awareness among investing public by increasing penetration among masses so as to get new
customers into their fold. Along with launching a brand awareness campaign, insurance
companies started selling the concept of making people look at insurance as an important tool
for financial and retirement planning from just being a tax saving tool. And what better way
to do it than the print media, especially English newspapers, which reach the highest strata of
the society – the Sec A & B segments
.
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CHAPTER II:
METHODOLOGY
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2.1
NEED OF THE STUDY
It is first step towards achieving the ultimate goal of company in marketing of insurance
products. They provide a foundation in which you can start building upon your marketing
activities. A study on marketing strategies survey encourages your clients and customers to
give your business vital feedback on issues that can attract customers, including:

Provide the value
product planning
packaging
branding
pricing

Communicate the value
advertising
personal selling
directmarketing
sales promotion

Deliver the value
channels of distribution
logistics
servicing
2.2OBJECTIVES OF THE STUDY

To study the sales promotion force of Bajaj Allianz General Insurance.
 To study the process of selling of Insurance Policies by Adivsors.
2.3 SCOPE OF STUDY
I have limited the scope of my study to the analysis of the satisfaction of insurance
products and insurance companies of Bajaj Allianz customers only located in Visakhapatnam.
 We can get a sample of respondents from Bajaj Allianz only.
 Moreover, we can get the segmented data of customer.
 Conducting a survey prevents irritation and resistance from the respondents unlike
those in case of doing a survey in an organization.
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2.4RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem. Research
methodology constitutes of research methods, selection criterion of research methods, used in
context of research study and explanation of using of a particular method or technique so that
research results are capable of being evaluated either by researcher himself or by others. Why
a research study has been undertaken, how the research problem has been formulated, why
data have been collected and what particular technique of analyzing data has been used and a
best of similar other question are usually answered when we talk of Research methodology
concerning a research problem or study. The main aim of research is to find out the truth
which is hidden and which has not been discovered as yet.
AREA OF STUDY
The area of the study related with getting correct information of general insurance policies
of different peoples in the region of Vishakapatnam.
SAMPLE DESIGN
A sample design is a definite plan for obtaining a sample from a given population. It refers to
the techniques or the procedure the researcher would adopt in selecting items for the sample.
Sample design may as well be drawn from the population to be included in the sample i.e. the
size of the sample. Sample design is determined before data are collected.
During my study I have taken 100 insurance care consultants as the size of sample.
TOOLS USED
To know the response, I have used the questionnaire method. If one wish to find what
insurance care consultants think or know, the logical procedure is to ask them. This has led
marketing researchers to use the questionnaire technique for collecting data more than any
other method.
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In this method questionnaire were distributed to the respondents and they were asked to
answer the questions in the questionnaire. The questionnaire were structured non disguised
questionnaire because the question which the questionnaire contained, were arranged in a
specific order besides every question asked were logical for the study, no question can be
termed as irrelevant.
The questionnaire was non-disguised because the questionnaire was constructed so that the
objective is clear to the respondent. The respondents were aware of the objective. They knew
why they were asked to fill the questionnaire.
With the help of following techniques, which are using by Bajaj Allianz I analyse that the
how techniques of sales promotion are useful.
DATA COLLECTION
PRIMARY DATA SOURCES

Through interaction with insurance care consultant
 Through questionnaires filled from the insurance care consultant.
SECONDARY DATA SOURCES:

Through internet, various official sites of the companies.

Through pamphlets and brochures of the companies.

Journals & Magazine
LIMITATIONS OF THE STUDY
Following limitations were faced during the study:
1. While designing the questionnaire it was kept in mind to gather more and more
information from each target person. For the neither present nor descriptive questions
could have served the purpose. Therefore the questionnaire contained in the openended questions.
2. The study was conducted in Bajaj Allianz in Vishakapatnam city, which has 127 to
170 insurance care consultants only. The sample size was of 100 insurance care
consultants only so that accuracy of data so collected could be absurd covered by
circulation of questionnaire.
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3. The accuracy of indications given by the respondents may not be consider adequate as
whether the language used in the questionnaire is understood by the respondent
cannot be taken for granted.
4. The study is based on the information gathered from the insurance care consultants.
Therefore in such case it is possible that the information supplied might be biased
because the insurance care consultant might have shown partiality towards their
insurance policies.
5. Since the survey was limited to 100 insurance care consultants it is rather difficult to
give a precise conclusion but I have tried to the best of my capability to give the
conclusion on a comprehensive manner.
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CHAPTER III:
ORGANISATION
PROFILE
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3.1 INDUSTRY PROFILE:
Insurance in India started without any regulations in the nineteenth
century. It was a typical story of a colonial era: a few British insurance
companies dominating the market serving mostly large urban centers. After the
independence, the Life Insurance Company was nationalized in 1956, and then
the general insurance business was nationalized in 1972. Only in 1999 private
insurance companies were allowed back into the business of insurance with a
maximum of 26 per cent of foreign holding (World Bank Economic Review
2000). The entry of the State Bank of India with its proposal of bank assurance
brings a new dynamics in the game. On July 14, 2000 Insurance Regulatory and
Development Authority bill was passed to protect the interest of the
policyholders from private and foreign players. The following companies are
entitled to do insurance business in India.
The private insurance joint ventures have collected the premium of
Rs.1019.09 crore with the investment of just Rs.3, 000 crore in three years of
liberalization. The private insurance players have significantly improving their
market share when compared to 50 years Old Corporation (i.e.LIC). As per the
figures compiled by IRDA, the Life Insurance Industry recorded a total
premium underwritten of Rs. 16814.72 crore for the period under review. Of
this, private players contributed to Rs.1, 019.09 crore, accounting for 10
percent. Life Insurance Corporation of India (LIC), the public sector giant,
continued to lead with a premium collection of Rs.9,688.87 crore, translating
into a market share of 90 per cent. In terms of number of policies and schemes
sold, private sector accounted for only 3.77per cent as compared to 96.23 per
cent share of LIC.
The ICICI Prudential topped among the private players in terms of
premium collection. It recorded a premium of Rs. 364.9 crore and a market
share of 25 per cent, followed by Birla Sun Life with a premium under- written
Rs.170 crore and a market share of 15 percent, HDFC Standard with 132.7 crore
and Max New York Life with Rs.76.8 crore with a market share of
approximately 15 per cent each. Unlike their counterpart in the life insurance
business, private non-life insurance companies have not yet started addressing
the retail market. All is set to change in the coming years. Like in the banking
sector, non-life insurance companies will soon have no choice but to focus on
individual buyers.
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In case of private non-life insurance players that their market shares
raised to 13 per cent over previous year. Private sector grew at 12.8 per cent and
public sector grew by 13.8 per cent by the end of January 2010. Among the
private non-life insurance players, ICICI Lombard topped the list with a
premium collection of Rs. 4,251.87 crore in one year period with a market share
of 9.98 per cent and annual rate of 10.28 percent, followed by Bajaj Allianz
with a premium of Rs. 2,904.74 crore and 6.82 per cent market share and annual
growth rate of 9.92 per cent and IFFCO Tokio with a premium of Rs. 18, 15.50
crore and 4.26 per cent market share and annual rate of 4.34 per cent.
Among the public sector players, New India garnered a market share of
16.66 per cent, Rs.7, 096.53 crore premium and an annual rate of 17.62 per
cent, followed by United India with a market share of 14.97 per cent with
Rs.6.376.35 crore premium, National with a market share of 14.36 per cent with
Rs.6115.41 crore premium and annual rate by 13.65 per cent and Oriental with a
market share of 12.77 per cent, Rs.5439.60 crore premium and an annual rate
14.74. If this trend continues, private insurer would dominate the public sector
like New India Insurance Corporation. It is obviously reflect the insurance
sector has facing the challenges with foreign counter parties as well as private
counter parties and lot more opportunities are prevailing to penetrate the
insurance business among the uncovered people and area of India. Further, it
leads to economic development of the country. In this regard, it assumes greater
significance to conduct debate among the inter- disciplinary persons.
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3.2 COMPANY PROFILE:
Bajaj Allianz General Insurance Company Limited is a joint venture
between Bajaj Auto Limited and Allianz AG of Germany. Both enjoy a
reputation of expertise, stability and strength.
Bajaj Allianz General Insurance received the Insurance Regulatory and
Development Authority (IRDA) certificate of Registration (R3) on May 2nd,
2001 to conduct General Insurance business (including Health Insurance
business) in India. The Company has an authorized and paid up capital of Rs
110 crore. Bajaj Auto holds 74% and the remaining 26% is held by Allianz,
AGGermany.
Vision



To be the first choice insurer for customers
To be the preferred employer for staff in the insurance industry
To be the number one insurer for creating shareholder value
Mission
As a responsible, customer focused market leader, we will strive to understand
the insurance needs of the consumers and translate it into affordable products
that deliver value for money.
Achievements
Bajaj Allianz has received iAAA rating, from ICRA Limited, an associate of
Moody's Investors Service, for Claims Paying ability. This rating indicates
highest claims paying ability and a fundamentally strong position.
 Bajaj Allianz General Insurance has received the prestigious "Business
Leader in General Insurance", award by NDTV Profit Business
Leadership Awards 2008.
 The company was one of the top three finalists for the year 2007 and
2008 in the General Insurance Company of the Year award by Asia
Insurance Review.
 It is Celebrating 10 years in market.
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3.2.1 Allianz Group:
Allianz Group is one of the world's leading insurers and financial services
providers. Founded in 1890 in Berlin, Allianz is now present in over 70
countries with almost 151,340+ employees. At the top of the international group
is the holding company, Allianz AG, with its head office in Munich.
Allianz Group provides its more than 60 million customers worldwide with a
comprehensive range of services in the areas of










Property and Casualty Insurance,
Life and Health Insurance,
Asset Management and Banking.
Allianz AG- A global finance power house
Worldwide 2nd by Gross Written Premiums - € 43,895 million.
3rd largest Assets under Management (AUM) & largest amongst Insurance
cos. - AUM of €1131 billion
12th largest corporation in the world
49.8 % of global business from Life Insurance
Established in 1891, 110 yrs of Insurance expertise
70 countries, 151,340+ employees worldwide
Bajaj Allianz today has centers in 200 cities spread across the length and
breadth of the country. From Surat to Siliguri and Jammu to
Thiruvananthapuram, all the offices are interconnected with the Head Office at
Pune.
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3.2.2 Bajaj Group:
Bajaj Auto Ltd, the flagship company of the Rs. 8000 crore Bajaj group is
the largest manufacturer of two-wheelers and three-wheelers in India and one of
the largest in the world. A household name in India, Bajaj Auto has a strong
brand image & brand loyalty synonymous with quality & customer focus.
A STRONG INDIAN BRAND- HAMARA BAJAJ
 One of the largest 2 & 3 wheeler manufacturer in the world
 21 million+ vehicles on the roads across the globe
 Managing funds of over Rs 4000 cr.
 Bajaj Auto finance one of the largest auto finance cos. in India
 Rs. 4,744 Cr. Turnover & Profits of 538 Cr. in 2002-03
 It has joined hands with Allianz to provide the Indian consumers with a
distinct option in terms of life insurance products.
 As a promoter of Bajaj Allianz Life Insurance Co. Ltd., Bajaj Auto has
the following to offer  Financial strength and stability to support the Insurance Business.
 A strong brand-equity.
 A good market reputation as a world class organization.
 An extensive distribution network.
 Adequate experience of running a large organization.
3.2.3 Insurance Company Operations:
The most important insurance company operations consist of the following.





Rate making
Underwriting
Products
Claim settlement
Renewals
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INSURANCE INDUSTRY: CLASSIFICATION
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3.2.4 Products
1. Motor:
A) Car Insurance:
Car insurance policy is the most important document in your vehicle. Along
with comprehensive coverage against physical damage, bodily injury and cover
against third-party liability, car insurance brings confidence and peace of mind.
All this is backed by superior claims servicing capability and fast settlement
record.
B) Two Wheeler Insurance:
Two wheeler is about freedom and the Bajaj Allianz two wheeler insurance
policies have been designed to set you free. Our comprehensive policy provides
hassle free protection to your two wheeler against physical damage, theft and
third party liability.
Benefits (For Car&2 wheeler):







In just 4 easy steps get your Two Wheeler Insurance or Insurance
Renewal done
Cashless claims at over 1500 preferred garages, Get 75% on account
payment when cashless facility is not available
Transfer up to 50% of your existing No Claim Bonus from any insurance
provider
Avail of our 24x7 Telephonic Service
Instant Claims Assistance and SMS updates on your motor claim status
through our 24x7 call-centers
Bajaj Allianz' preferred workshops give you access to Hassle Free
Inspection, High Service Standards
0% interest EMI option available on payment through Citibank Credit
Card
Coverage (For Car&2 wheeler):
 Loss or Damage to your car and two wheeler against Natural Calamities
Fire, explosion, self-ignition or lightning, earthquake, flood, typhoon,
hurricane, storm, tempest, inundation, cyclone, hailstorm, frost, landslide
and rockslide.
 Loss or Damage to your car and two wheeler against Man-made
Calamities Burglary, theft, riot, strike, malicious act, accident by external
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means, terrorist activity, any damage in transit by road, rail, inland
waterway, lift, elevator or air.
 Personal Accident Cover Coverage of Rs. 1 Lakh for the individual
owner/driver of the vehicle while driving or travelling, mounting or
dismounting from the two wheeler. Optional personal accident covers for
co-passengers available.
 Third Party Legal Liability Protection against legal liability due to
accidental damages resulting in the permanent injury or death of a person,
and damage caused to the surrounding property.
2. Travel:
A) Travel Companion:
The Travel Companion Policy is a comprehensive package which provides
complete medical and health cover to the international traveler in 3 packages
such as Care, Secure, and Value. With different sum assured and benefits. It
designed for Individual, Family, and Senior Citizen (61-70). The policy
premium varies including or excluding USA, Canada.
Coverage:
 Medical Expenses, Evacuation and Repatriation
 Emergency dental pain relief
 Loss of Checked Baggage
 Delay of Baggage
 Personal Accident
 Hijack
 Trip Delay
 Emergency Cash Advance
 Golfer Hole-in-one
B) Travel Elite:
This Plan is for those who travel a class apart. It gives the discerning traveler an
array of policies to choose from, with each policy customized to meet your
specific needs. Depending upon whether one is a student, businessman,
corporate executive, senior citizen or one traveling with the family, one can
choose.
It has 3 packages such as Silver, Gold, and Platinum with different sum assured
23
and benefits. It designed for Individual, Family, Senior Citizen (61-70), and
Senior Citizen (71-75). The policy premium varies including or excluding USA,
Canada.
Coverage:
 It include all the coverage’s of Travel Companion with.,
 AD & D Common Carrier
 Trip Cancellation
 Home Burglary Insurance
 Trip Curtailment
 Hospitalization Daily Allowance
 Loss of Passport
C) Student Travel:
It Make student Dreams Come True without Worries. It designed special for
students who study in abroad. It make your travel risk free, choose from an
array of Student Travel Insurance plans that offer protection for your travel, as
well as coverage for other essential needs such as medical and hospitalization
help.
It has Companion, Elite, and Scholars Guide & Brilliant minds which sub dived
into Standard, Silver, and Gold where Premium and sum assured vary
Coverage:
 Medical Expenses, Evacuation and Repatriation
 Emergency dental pain relief (Excluded for Brilliant minds)
 Tuition Fee
 Personal Accident
 Loss of Checked Baggage
 Accident to Sponsor
 Family Visit
 Personal Liability
 Bail Bond Insurance( For only Elite& Brilliant minds)
 AD &D Common Carrier(For Only Elite& Brilliant minds)
24
3. Health
A) Individual Health guard:
It is to stand by during those difficult times of physical and mental stress.
Health Guard policy takes care of your hospitalization expenses & offers a wide
coverage of pre & post hospitalization expenses. We are the first insurance
company to offer a sum insured of Rs. 10 lacs.
B) Health Ensure:
The Health Ensure policy is the perfect health protection for you and your
family. It takes care of medical treatment costs incurred during hospitalization
due to serious accident or illness.
C) Extra Care:
It is a unique health insurance plan that allows you to extend your existing health
insurance cover. If the sum insured of your existing health insurance plan does not
suffice for expenses due to illness or accidents, Extra Care health insurance policy
takes care of the additional hospitalization expenses.
D) Family Floater Health Guard Policy:
It is the perfect Health protection for you and your family. It takes care of the
expensive medical treatment incurred during hospitalization resulting from
serious accident or illness. The policy covers pre and post hospitalization
expenses and also ambulance charges in case of an emergency
E) Critical Illness:
A health insurance plan that covers critical illness means you can insure
yourself against the risk of serious illness in much the same way as you insure
your car and your house. It will give you the same security of knowing that a
guaranteed cash amount will be paid if the unexpected happens and you are
diagnosed with a critical illness.
F) Star Package:
It is a unique family floater policy which protects your family against various
risks and contingencies. It provides a gamut of covers for various health risks,
household contents, education grant, travel baggage and public liability all
under a single policy. It has 8 sections and you would have to opt for a
25
minimum 3 sections to avail for this policy. The death, Injury or sickness of a
breadwinner or family member can create serious financial problems for any
family. Star package insures you against these circumstances.
Features (For All Policies):
 The member has cashless facility at over 2300 hospitals across India
 With Health Guard, the member has access to cashless facility at
various empanelled hospitals across India.
 Pre and post - hospitalization expenses covers relevant medical
expenses incurred 60 days prior to and 90 days after hospitalization
 Covers ambulance charges in an emergency (limit of Rs. 1000 /-)
 No tests required up to 45 years up to SI 10 lacs*
 10% co- payment applicable if treatment taken in non-network
hospitals
 20% co-payment applicable for members of age group 56 -65 years,
opting this policy for first time
 Waiver on 10% co-payment is available on payment of additional
premium
 Pre-existing diseases covered after 4 years continuous renewal with
Bajaj Allianz
Benefits (For All Policies):








Health Administration Team for hospitalization claims to lower time.
Access to over 2300 hospitals all over India for cashless facility.
130 day care procedures covered.
No Sub-limits applicable on room rent and other expenses
Hassle-free claim settlement due to In-house claim administration.
Income tax benefit on the premium paid as per section 80-D of Income
Tax Act as per existing IT law.
Health Check up for maximum amount of Rs. 1000 /- at the end of
continuous four claim free years
Family discount of 10% is applicable
4. Property Insurance:
A) Home Insurance:
It’s a simplified home insurance policy designed for your convenience. This
comprehensive package policy is designed to cover various risks and
contingencies faced by home owners.
26
Coverage:




Fire & allied perils
Baggage
Domestic appliances - Burglary & Theft
Electronic appliances
Benefits:








Can be bought online
Available as over the counter (OTC) kit
Instant activation through SMS/ Call centre
Convenience to choose from 3 customized plans
Affordable package premium
Combination of requisite covers (sections)
Waiver of under insurance
Easy claim settlement process
B) Shopkeeper Insurance:
Shopkeeper policy safeguards your shop from thefts and robberies. It keeps the
shop secure even when it's closed. This unique shop insurance policy is
designed to cover risks and difficulties faced by you as a shopkeeper. It
provides a huge protection for the shop property, interests of the insured and
your partners in the business.
Coverage:












Fire & Allied Perils
Burglary & Robbery
Money
Plate Glass
Neon Sign/Glow Sign
Breakdown of Business Appliances
Electronic Equipment
Fidelity Guarantee
Personal Accident
Public Liability
Workmen Compensation
Business Interruption
27
Exclusions:
Damage arising due Business interruption caused by terrorist activities
Note: Terrorism cover can be opted for extra premium.
C) Corporate insurance:
i) Engineering Insurance:
Contractors All Risk:
Covers civil construction projects, such as residential / commercial buildings,
theatres, factory sheds, warehouses, roads, bridges, dams, reservoirs, tunnels, oil
/ gas pipelines, water / sewage disposal works, etc. Perils covered. The Sum
Insured shall include landed cost at site of imported / indigenous materials,
construction cost (including visits of specialists / experts, supervision charges).
It is the completely erected value of property inclusive of freights, custom duty,
erection cost adjusted to fluctuations in wages / prices.
Boiler and Pressure Plant Insurance Policy:
It covers for damages under boilers Pressure plant other than by fire, to boilers
& pressure plant and to its surrounding property including third Party legal
liability arising due to explosion and collapse of the plant during its normal
course of working
Machinery Loss of Profits Insurance:
This insurance policy covers reduction in turnover / output and increased cost of
working of a company due to accidental damage to machinery / boilers affected
in stated premises.
Erection All Risks:
This policy covers All Risk pertaining to projects of Erection, Testing and
Commissioning subject to the following exclusions and conditions.
Machinery Break down Policy:
It covers Sudden and unforeseen accidental damage to machinery. The
machinery can be at work or at rest. Machinery being dismantled for
cleaning/overhauling and in course of these operations being shifted within
specified premises or being re-erected subsequently also covered
Electronic Equipment Insurance:
28
This policy covers entire range of Electronic Equipment from a personal
computer to sophisticated gadgetry. It covers any unforeseen and sudden
physical loss or damage to electronic equipment from any cause, external data
media and the expenses for reconstruction and re-recording of information and
increased cost of working.
ii) Standard Fire and Special Perils Policy:
It offers the Standard Fire & Special Perils policy, which will support you in
such trying times. This insurance policy safeguards you against the losses that
can arise due to a fire and perils to buildings, plant & machinery, stocks,
furniture and fixtures against loss or damage
Coverage:












Fire
Lightning
Explosion/Implosion
Aircraft Damage
Riot, Strike, Malicious Damages & Terrorism
Storm, Tempest, Cyclone, Typhoon, Hurricane, Tornado,
Flood&inundation,
Impact damage
Subsidence, Landslide and Rock slide
Missile Testing operations
Bush Fire
Bursting and/or overflowing of Water Tanks, Apparatus and Pipes
Leakage from Automatic Sprinkler Installations
iii) Business Interruption:
This policy operates in the event of damage to the premises of an insured due to
any peril insured under the Standard Fire & Special Perils Policy. This policy
operates in the event of damage to the premises of an insured due to any peril
insured under the Standard Fire & Special Perils Policy, causing an interruption
to his business
Coverage:


Loss of Gross Profit due to a reduction in turnover
Increased Cost of Working incurred in minimizing that loss of gross
profit
29
iv) Industrial All Risk:
All industrial risks (other than risks ratable under Petrochemical Tariff) having
overall Sum Insured of Rs. 100 Crores and above in one or more locations in
India are eligible
Coverage:





Fire and Special Perils including Flood, Storm, Tempest
Earthquake, Fire & Shock
Consequential Loss (Fire)
Machinery Breakdown, Boiler Explosion, Electronic Equipment
Machinery Breakdown - Optional
v) Work Men’s Compensation:
The Indian Workmen's Compensation Act 1923 provides for the payment of
compensation by the employer to his employees (for their dependents in the
event of fatal accidents) if personal injury is caused to them by accidents arising
out of and in the course of their employment.
Coverage:
Maximum compensation paid as per W.C. Amendment Act 2000 on the following scale




Fatal Injury- Rs.4,57,080
Permanent Total Disablement - Rs.5,48,496
Permanent Partial Disablement -According to incapacity caused
Temporary Disablement - Rs. 2000 per month up to a period of 5 years
vi) Product Liability:
The policy offers to indemnify the legal liability that you incur as a result of
bodily injury or property damage caused by the use of your products after they
are sold or supplied.
vii) Fidelity Guarantee Insurance:
It covers you against these losses caused due to fraud or dishonesty. It pays the
actual financial loss sustained as a result of the dishonesty / fraudulent act of the
employee. After adjusting any salary, commission security deposit or any other
money standing to the credit. The loss is payable up to the limit specified for the
30
employee. The policy does not pay more than one claim in respect of
liability/loss arising out of an individual employee's acts.
Types:
 Individual Policy: Under this policy only one individual is guaranteed per
policy.
 Collective Policy: This option covers the entire staff or number of
selected people. One policy is issued showing amount of guarantee
against the name of each individual covered.
 Floating Policy or Floater: This cover is an extension of the collective
policy, where the sum insured for the whole group is mentioned and not
for an individual. The names of the group members with their
designations are mentioned in the schedule of the policy. Each claim
reduces the sum insured and has to be reinstated by paying extra
premium.
 Position Policy: The Policy schedule contains 'positions' rather than the
names of individuals unlike in collective policy; with the sum insured
specified for each position. The liability for each position is limited to the
amount of sum insured against each position irrespective of the number
of people working in that position.
viii) Marine Insurance:
It compensates losses of goods in transit.
Coverage:











Stranding , Grounding, Sinking or Capsizing
Overturning or Derailment of Land Conveyance
Collision of Ship or Craft with another Ship or Craft
Contact of Ship, Craft or Conveyance with anything other than Ship or
Craft (excludes Water but not Ice)
Discharge of Cargo at Port of Distress
Loss overboard during Loading/Discharge (total loss only)
Fire or Explosion
Malicious Damage
Theft/ Pilferage
General Average Sacrifice
Jettison
31
 Washing Overboard (deck cargo)
 Seawater entering Ship, Craft, Hold, Conveyance Container Lift Van or
Place of Storage
 River or Lake Water entering same
NOTE: No War Risks covered
32
CHAPTER IV
ANALYSIS &
INTERPRETATION
33
4.1DATA ANALYSIS AND INTERPRETATION
1.Age of Respondents:
Age
15-30
No. of Respondents
14
% of Respondents
14
31-45
44
44
46-60
36
36
61 and Above
6
6
Total
100
100
34
Interpretation:
The respondents are of all age groups. But most of the respondents belong to the age group
of 31-45, followed by 46-60, 15-30, 61 and above.
2.Educational Level of Respondents:
Education Level
No. of Respondents
% of Respondents
Under Graduates
17
17
Graduates
38
38
P.G.
22
22
Others
23
23
Total
100
100
35
Interpretation:
All most all the respondents are literates. But then most of the respondents are
graduates. The next majority groups are postgraduates. We also have small sample of
respondents who are under graduates.
3.Occupation of the Respondents:
Occupation
No. of Respondents
% of Respondents
Self Employee
9
9
Business
18
18
Govt. Employee
45
45
Pvt. Employee
28
28
Total
100
100
Interpretation:
Most of the respondents are government employees. The sample is also consisting of
a small sample of respondents who are private Employees, Businessmen and self employed.
36
4.Preferred Type of General Insurance Policy:Area of Savings
No. of Respondents
% of Respondents
Health Insurance
35
35
Motor Insurance(two
42
42
Hull Insurance
4
4
Car Insurance
19
19
Total
100
100
wheelers)
Interpretation:
When it comes to the interest towards general insurance most of the respondents says to
have motor insurance, secondly of the respondents willing to have health insurance and least about
hull insurance.
37
5. Owes General Insurance Policy :Response
No. of Respondents
% of Respondents
Yes
60
60
No
40
40
Total
100
100
Interpretation:
Insurance being something which takes care of one’s dependents, almost half of the
respondents are interested to have general insurance.60 percent of the respondents are owes
general insurance policy and 40 percent of the respondents are not interested.
38
6.Health Insurance Policy:
Option
No. of Respondents
% of Respondents
Yes
70
70
No
30
30
Total
100
100
Interpretation:
Insurance being something which takes care of one’s dependents, almost all the
respondents are interested in it. A negligible sample of respondents being unaware of insurance are
not interested in it.
39
7.Reason for not having Insurance:Reason
No. of Respondents
% of Respondents
Less Awareness
5
30
Not Interested
3
18
No Belief
0
0
Others
9
52
Total
17
100
Interpretation:
Most of the respondents are not having an insurance policy, because of less awareness.
Some respondents said that, they are not interested in having an insurance policy.
40
8.Respondent’s awareness on various insurance companies:-
Organization
No. of Respondents
% of Respondents
Tata AIG
10
10
IIFCO Tokyo
10
10
ICICI lombard
10
10
Bajaj Allianz
40
40
National Insurance
20
20
United India
10
10
Others
0
0
Total
100
100
Interpretation:
Almost all the respondents accept that, the insurance company with high brand image is
Bajaj Allianz. When it comes to the rest of the players in the insurance industry National Insurance,
41
9.Customers Interested in Future:No. of Respondents
% of Respondents
Universal Sampoo
5
5
United India
15
15
ICICI lombard
10
10
Bajaj Allianz
20
20
25
25
National Assurance
25
25
Others
0
0
Total
100
100
Organization
Oriental Insurance
42
Interpretation:
Most of the respondents are willing to shift to public insurance companies.
25 percent of the respondents says oriental insurance, National insurance
and United insurance.
10.Private insurance Products liked by customers:Plan
No. of Respondents
% of Respondents
Third party Insurance
19
19
Comprehensive Policy
20
20
Property Insurance
16
16
Liability Insurance
45
45
Total
100
100
43
Interpretation:
When it comes to the private players in the insurance industry, the products, the customers
prefer are 36 percent of the respondents prefer to have liability insurance, followed by
property insurance, comprehensive policy and third party insurance
11.Respondents Known About Bajaj Allianz:-
Option
No. of Respondents
% of Respondents
Yes
60
91
No
40
9
Total
100
100
Interpretation:
Since there is good advertising and agency channel followed by the company, most of the people
know about Bajaj Allianz.
44
12.Reason for choosing Bajaj Allianz:
Option
No. Of Respondents
Security
Good service
Reliability
Brand image
Total
% Of Respondents
12
13
12
63
100
Interpretation:
Most of the customers prefer Bajaj Allianz due to their brand image and good services.
45
12
13
12
63
100
13.Mode of Payment made by the respondents towards their
insurance Policies:-
Mode
No. of Respondents
% of Respondents
Monthly
20
20
Quarterly
10
10
Half yearly
45
45
Annually
25
25
Total
100
100
Interpretation:
Most of the respondents are paying the premiums twice a year, i.e. half yearly. Some of the
respondents opted for quarterly payment of premium followed by yearly and monthly payment
respectively.
46
CHAPTER V
Findings,
Suggestions
&Conclusions
47
5.1FINDINGS
 At present, insurance policies are available from more than 2000 general insurance
companies around the world, as well as from banks and other financial institutions.
 Most of the people are insured by considering the organizations, which will have
greater security for them and with the service they are offering and the benefits like
tax weaving.
 The organizations are having agents or advisors in order to meet the customers and
influence them to purchase the general insurance policy.
 Brand Awareness of BAJAJ ALLIANZ GENERAL INSURANCE is competitive when
compared with other life insurance companies in Vizag.
 Now a day’s most of the individuals are getting attracted towards health insurance.
 Most of the government employees are having insurance policies in Public Ltd
Companies.
 BAJAJ ALLIANZ GENERAL INSURANCE have much market share when compared with
competitors apart from Public insurance companies.
 BAJAJ ALLIANZ GENERAL INSURANCE has to provide more products or policies for
the changing needs of the customers.
48
5.2 SUGGESTIONS
Here are some suggestions, which may help to strengthen the firm further
 Many of the insurance care consultants of the Bajaj Allianz. Has the lack of
good communication skills and training. So training should be easy.
 Bajaj Allianz. Should use new techniques of sales promotion.
 Customer services should be more comfortable than others.
 People must be made aware of the benefits of the policies of Bajaj Allianz.
 The company should give personal attention to each customer.
 Proper assistance should be provided to the customer at the time of claim
settlement.
 All the details about the company should be given to the customers.
 Regular advertisement of the company should be given TV and Newspaper.
 The company must try to find new markets especially in the rural areas.
 The company should do frequent analysis of the competitors.
49
5.3 CONCLUSION
Competition will surely cause the market to grow beyond current rates,
create a bigger pie, and offer additional consumer choices through the
introduction of new products, services and price options. Yet, at the same time
public and private sector companies will be working together to ensure healthy
growth and development of the sector. The market is now in an evolving phase
where one can expect a lot of actions in coming days.
It is concluded from the survey that many customers are satisfied of Bajaj
Allianz General Insurance Company and will suggest the company to others
which is powerful promotion to company and it need to improve in
communication of Agents/Employees. Company need to create trust in
costumers about private insurance companies by rendering good services like
proper claims, good response to costumer queries and maintaining good
relationship with costumers.
Most of Customers of Bajaj Allianz are from Motor Policies. So company
need to create the awareness of the policies like Fire (Home), Travel and
burglary many more…..
50
BIBLIOGRAPHY
Books
 Kothari C.R., (1999) Research Methodology, Wishwa Prakashan
 Kotler P. and Armstrong G., (2005) Principles of Marketing New Delhi,
Prentice Hall of India
 Kotler P., (1999)Marketing Management Analysis, Planning, Implementation
and Control, New Delhi, Prentice Hall of India
 Saxena Rajan, (1999) Marketing Management, Tata McGraw Hill
Websites:

www.bajajallianz.com

www.indiainfoline.com

www.irdaindia.org

www.thehindubusinessline.com
51
ANNEXURES
QUESTIONNAIRE
GITAM INSTITUTE OF MANAGEMENT
GITAM UNIVERSITY
VISAKHAPATNAM
Brand Awareness On general insurance products of Bajaj Allianz General Insurance Company
Name
:
_____________________________________
Address
:
_____________________________________
1) Educational details
a) Under Graduate
b) Graduate
c) P.G d) Others
2) Nature of occupation
a) Self employee
b) Business
c) Govt. employee
d) Private employee
3) Number of family members
a) 2
b) 3
c) 4
d) More than four
4) Interest towards what type of policy?
a) Health insurance b) Motor Insurance c) Hull insurance d) Car insurance
5) Do you have general insurance policy?
a) Yes b) No
6) Do you have any health insurance policy for your family members?
a) yes b) No
52
7) If yes, details of ownership
Company
Name
Person Name
Age
Policy Name
Year of
Purchase
 If No, Reasons for not taking insurance
a) Less awareness
b) Not interested
c) No belief
d) Others
8) Brand awareness towards insurance?
a) TATA AIG b) IIFCO TOKYO c) ICICI LOMBARD d) BAJAJ ALLIANZ e)
NATTIONAL ASSURANCE f) UNITED INDIA g)Others
9) Which company are you interested in future
a) Universal Sampoo b) United India c) ICICI Lombard
Oriental Insurance f) National Insurance g)Others
d) Bajaj Allianz General
e)
10) Name of the product, which is, liked by you from private insurance
a) Third party insurance
insurance
b) Comprehensive Policy c) Property insurance d) Liability
11) Do you know about Bajaj Allianz?
a) Yes b) No
12) Reasons for choosing Bajaj Allianz
a) Security
b) Good service
c) Reliability d) Brand image
53
13) Mode of payment
a) Monthly
b) quarterly
c) Half yearly d) Annually
54