Professional Documents
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Project Report
on
IN
ACKNOWLEDGEMENT
To acknowledge all the people who had helped for the fulfilment of
project is not possible for any researcher but in spite of all that it
becomes the foremost responsibility of the researcher and also the
part of research ethics to acknowledge those who had played a great
role for the completion of the project.
Last but not the least I would like to thank my family for their
constant support and encouragement to complete the project in the
stipulated time.
Bajaj Allianz General Insurance Co. Ltd.
DECLARATION
SAMEER
SINDHER
Bajaj Allianz General Insurance Co. Ltd.
TABLE OF CONTENTS
Sr.N CONTENTS
o
1. INTRODUCTION
2. SECTOR PROFILE
3. COMPANY PROFILE
4. OBJECTIVES OF STUDY
5. RESEARCH METHODOLOGY
6. DATA ANALYSIS &
INTERPRETATION
7. OBSERVATIONS & FINDING
8. SUGGESTION
9. BIBLIOGRAPHY
10. QUESTIONNIARE
Bajaj Allianz General Insurance Co. Ltd.
INTRODUCTION
Bajaj Allianz General Insurance Co. Ltd.
INTRODUCTION
A marketing strategy is a process that can allow an organization to concentrate its (always
limited) resources on the greatest opportunities to increase sales and achieve a sustainable
competitive advantage.
Marketing strategy as a key part of the general corporate strategy marketing strategy is most
effective when it is an integral component of corporate strategy, defining how the
organization will engage customers, prospects and competitors in the market arena for
success. It is partially derived from broader corporate strategies, corporate missions, and
corporate goals. They should flow from the firm's mission statement. They are also
influenced by a range of micro environmental factors.
Marketing strategies are dynamic and interactive. They are partially planned and
partially unplanned. See strategy dynamics.
• Leader
• Challenger
• Follower
Porter generic strategies - strategy on the dimensions of strategic scope and
strategic strength. Strategic scope refers to the market penetration while
strategic strength refers to the firm’s sustainable competitive advantage.
Bajaj Allianz General Insurance Co. Ltd.
• Cost leadership
• Product differentiation
• Market segmentation
Innovation strategies - This deals with the firm's rate of the new product
development and business model innovation. It asks whether the company is on
the cutting edge of technology and business innovation. There are three types:
• Pioneers
• Close followers
• Late followers
Growth strategies - In this scheme we ask the question, “How should the firm grow?”. There
are a number of different ways of answering that question, but the most common gives four
answers:
• Horizontal integration
• Vertical integration
• Diversification
• Intensification
A more detailed schemes uses the categories:
• Prospector
• Analyzer
• Defender
• Reactor
Bajaj Allianz General Insurance Co. Ltd.
• INSURANCE NEED
Why is insurance necessary? The question contains the answer within itself. After all, life is
fraught with tensions and apprehensions regarding the future and what it holds for the
individual. Despite all the planning and preparation one might make, no one can accurately
guarantee or predict how or when death might result and the circumstances that might ensue
in its aftermath.
We are not saying that life and existence are constantly fraught with danger and uncertainty.
But then it is essential that you plan for the future. The chances for a fatality or an injury to
occur to the average individual may not be particularly high but then no one can really afford
to completely disregard his or her future and what it holds.
People generally regard insurance as a scheme when and where you have to lose a lot to gain
a little. Nevertheless, insurance is still the most reliable tool an individual can use to plan for
his future.
And just why is it necessary to plan for the future with Insurance?
An Overview
The business of Insurance essentially means defraying risks attached to any activity over time
(including life) and sharing the risks between various entities, both persons and organisations.
Insurance companies (ICs) are important players in financial markets as they collect and
invest large amounts of premium. Insurance products are multi purpose and offer the
following benefits:
2. Accumulate savings
Bajaj Allianz General Insurance Co. Ltd.
SECTOR PROFILE
Bajaj Allianz General Insurance Co. Ltd.
The business of life insurance in India in its existing form started in India in the
year 1818 with the establishment of the Oriental Life Insurance Company in
Calcutta. Some of the important milestones in the life insurance business in India
are:
1912: The Indian Life Assurance Companies Act enacted as the first statute to
regulate the life insurance business.
1928: The Indian Insurance Companies Act enacted to enable the government to
collect statistical information about both life and non-life insurance businesses.
1938: Earlier legislation consolidated and amended to by the Insurance Act with
the objective of protecting the interests of the insuring public.
1956: 245 Indian and foreign insurers and provident societies taken over by the
central government and nationalized. LIC formed by an Act of Parliament, viz. LIC
Act, 1956, with a capital contribution of Rs. 5 crore from the Government of
India. The General insurance business in India, on the other hand, can trace its
roots to the Triton Insurance Company Ltd., the first general insurance company
established in the year 1850 in Calcutta by the British.
Some of the important milestones in the general insurance business in India are:
Bajaj Allianz General Insurance Co. Ltd.
1907: The Indian Mercantile Insurance Ltd. set up, the first company to transact
all classes of general insurance business.
1968: The Insurance Act amended to regulate investments and set minimum
solvency
INSURANCE SECTOR
General Insurance
General Insurance is another segment, which has been growing at a faster pace.
But as per the current comparative statistics, the general insurance premium has
been lower than life insurance. General Insurance premium as a percentage of
GDP was a mere 0.5 'per cent in 1996. In the General Insurance Business,
General Insurance Corporation (GIC) and its four subsidiaries viz. New India
Insurance, Oriental Insurance, National Insurance and United India Insurance, are
doing major business. The General Insurance Industry has been growing at a rate
of 19 percent per year.
which will give consumers a better Chance to save as well as insure. The
regulatory system in India is relatively new and takes some more time to make
the Insurance sector a perfectly competitive one. Insurance Regulatory Authority
of India issued regulations on 15 subjects which included appointed. Actuary,
actuarial report, Insurance agents, Solvency margins, reinsurance, registration of
Insurers, and obligation of insurers to rural and social sector, investment and
accounting procedure. The reform in Insurance in India is guided by factors like
availability of a variety of products at a competitive price, improvement in the
quality of customer services etc. Also the employment opportunities in the
Insurance sector wil1 increase as major players set their business plans in India.
The policy of the government to open up the financial sector and the Insurance
sector is expected to bring greater FDI inflow into the country. The increase in
the investment limit in this vital sector has generated considerable business
interests among the foreign Insurance companies" Their entry wil1 certainly
change the Insurance sector considerably.
In 1994, the committee submitted the report and some of the key
recommendations included:
Structure:
2. Government should take over the holdings of GlC and its subsidiaries so that
these subsidiaries can act as independent corporations.
Competition:
2. No Company should deal in both Life and General Insurance through a single
entity.
Regulatory Body:
Investment:
2. GIC and its subsidiaries are not to hold more than 5% in any company (There
current holdings to be brought down to this level over a period of time.)
Customer Service:
The committee emphasized that in order to improve the customer Services and
increase the coverage of the insurance industry should open up to competition.
But at the same time, the committee felt the need to exercise caution as any
failure on the part of new players could ruin the public confidence in the
industry. Hence, it was decided to allow competition in a limited way by
stipulating the minimum capital requirement of Rs. 100 crores. The committee
felt the need to provide greater autonomy to insurance companies in order to
improve.
INSURANCE INDUSTRY:
CLASSIFICATION
Bajaj Allianz General Insurance Co. Ltd.
General Insurance
Life Insurance
New Entrants
ICICI Prudential Life Insurance Ltd. Bajaj Allianz General Insurance
Company Ltd.
Tata AIG Life Insurance Corporation Reliance General Insurance
Ltd. Company Ltd.
ING Vysya Life Insurance Tata AIG General Insurance
Bajaj Allianz General Insurance Co. Ltd.
MARKET SHARE
Bajaj Allianz General Insurance Co. Ltd.
Motor insurance has the biggest share in general insurance market and
show a high growth over three years. Corporate ex-health shown a low
depression in Fy 2006-07 and high depression in Fy2007-08.Health
insurance shows positive trend in all these FY’s.
Bajaj Allianz General Insurance Co. Ltd.
COMPANY PROFILE
Bajaj Allianz General Insurance Co. Ltd.
Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj
Finserv Limited (recently demerged from Bajaj Auto Limited) and Allianz SE. Both enjoy
a reputation of expertise, stability and strength.
Bajaj Allianz General Insurance received the Insurance Regulatory and Development
Authority (IRDA) certificate of Registration on 2nd May, 2001 to conduct General
Insurance business (including Health Insurance business) in India. The Company has an
authorized and paid up capital of Rs 110 crores. Bajaj Finserv Limited holds 74% and the
remaining 26% is held by Allianz, SE.
As on 31st March 2009, Bajaj Allianz General Insurance maintained its premier position
in the industry by achieving growth as well as profitability. The company garnered a
premium income of Rs. 2866 crore, achieving a growth of 11 % over the last year. Bajaj
Allianz has made a profit before tax of Rs. 149.8 crore and has become the only private
insurer to cross the Rs.100 crore mark in profit before tax in the last three years. The profit
after tax was Rs.95 crores, which is also the highest by any private insurer.
Bajaj Allianz today has a countrywide network connected through the latest technology
for quick communication and response in over 200 towns spread across the length and
Bajaj Allianz General Insurance Co. Ltd.
breadth of the country. From Surat to Siliguri and Jammu to Thiruvananthapuram, all the
offices are interconnected with the Head Office at Pune.
Vision
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.
Insurance Company and a capital base of Rs. 110 crores, the company is fully
licensed to underwrite all lines of general insurance business including health
insurance.
Achievements
Bajaj Allianz has received "iAAA rating, from ICRA Limited, an associate of
Moody's Investors Services, 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”, awarded 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
Bajaj Allianz General Insurance Co. Ltd.
Review.
Company’s History
Bajaj Allianz General Insurance Company:
Allianz AG:
Allianz group was founded in 1890 and is one of the world's leading insurance
companies with over 100 year's experience in insurance and related services. It
is also the largest insurer in Europe. Allianz group has multi-local structure and
presence in over 70 countries. The key business areas of Allianz group include
General Insurance (property, engineering, marine, motor, casualty and
miscellaneous), Reinsurance, Risk Management, Life & health insurance, Asset
Management and Pension Funds Management.
Bajaj Auto Ltd the flagship company of Bajaj Group was incorporated in 1945 as
Bachraj Trading Corporation. Initially it started by assembling two and three
wheelers in collaboration with Piaggio of Italy. After the expiry of the Agreement
in 1971 the two and three wheelers acquired the brand name of Bajaj. The
strength of the company lies in its strong brand image and ability to offer value
for money products leveraging on its large-scale operations.
Bajaj Allianz General Insurance a joint venture non-life company promoted jointly
by Bajaj Auto and German insurer- Allianz. Indian auto major holds 74% while
Bajaj Allianz General Insurance Co. Ltd.
Allianz holds 26% in the Joint Venture, and has an authorized and paid up capital
of Rs. ll0 crores. Mr. Graham Norris is the CEO of the company. Bajaj Allianz
General Insurance will leverage the customer base and expertise of Bajaj Auto
Ltd and Allianz.
Product range of
company/industry
o Personal Accident
o Health Guard
o Critical Illness
o Burglary Insurance
o Householders Insurance
Bajaj Allianz General Insurance Co. Ltd.
o Travel Companion
o Office package
o Money Insurance
o Public Liability
Despite conditions which were not conducive for growth of gross premium, the
company managed to maintain a growth rate which was more than twice that of
the market. The company’s gross written premium (excluding share of premium
from the IMTPIP), grew by 33.3% during 2007-08 and, despite intense price
competition, company maintained its second position among the private sector
Bajaj Allianz General Insurance Co. Ltd.
As on 31st March 2008, Bajaj Allianz General Insurance maintained its premier
position in the industry by garnering a premium income of Rs. 2578 crore,
achieving a growth of 43 % over the last year.Bajaj Allianz has made a profit
before taxes of Rs. 167 crore and is the first company to cross the Rs.100 crores
mark in profit after tax by generating Rs. 105 crores.
In the first quarter of 2008-09, the company garnered a gross premium of Rs.733.53 crores
against Rs.573.73 core last year for the same period registering a growth of 28%.
Bajaj Allianz today has a countrywide network connected through the latest technology for
quick communication and response in over 200 towns 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.
Bajaj Allianz General Insurance Co. Ltd.
The company has earned a Profit Before Tax of Rs. 1,679 Mn for the year ended
31st March 2008, an increase of 43.5% over the previous year profit of Rs. 1,170
Mn. The Profit Before Tax includes a provision of Rs. 361 Mn towards provisions
for losses from the IMTPIP. The net profit for the year, after provisions for
reported losses from the IMTPIP, was Rs. 1,056 Mn as against Rs. 754 Mn
reported in 2006-07, which is an increase of 40.0%. In a year when prices of
insurance fell significantly, increasing its profitability whilst improving the market
share has been a significant achievement for your Company. It is a matter of
Bajaj Allianz General Insurance Co. Ltd.
pride for Bajaj Allianz that it have become the benchmark for other companies in
the market in so far as underwriting profitability and return on equity are
concerned. The Earnings per share (EPS) for the year ended 31st March 2008
was Rs. 9.59/- (compared to Rs. 6.85/- for the previous year) and the book value
of equity shares on 31st March 2008 was Rs. 52.15/- per share (as against Rs.
37.40/- per shares as on 31st March 2007).
516
470
217
1056
Bajaj Allianz General Insurance Co. Ltd.
Future prospects/plans
OBJECTIVES OF THE
STUDY
OBJECTIVES OF THE STUDY
• To study the sales Strategy of field force of Bajaj Allianz General Insurance.
RESEARCH
METHODOLOGY
Bajaj Allianz General Insurance Co. Ltd.
RESEARCH METHODOLOGY
AREA OF STUDY
The area of the study related with getting correct information of general insurance
policies of different peoples in the region of Ghaziabad.
SAMPLE DESIGN
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.
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.
With the help of following techniques, which are using by Bajaj Allianz I analyse that
the how techniques of sales promotion are useful.
Bajaj Allianz General Insurance Co. Ltd.
DATA COLLECTION
DATA ANALYSIS
&
INTERPRETATION
Bajaj Allianz General Insurance Co. Ltd.
Options Response in %
Display 40%
Door to Door Demo 14%
Exhibition 16%
Catalogue 20%
Price Off 10%
In
terpretation:
16% to the exhibition, 14% to the door to door demo and 10%
insurance care consultants prefer price off technique.
Bajaj Allianz General Insurance Co. Ltd.
Options Response in %
Display 18%
Door to Door Demo 36%
Exhibition 18%
Catalogue 16%
Price Off 12%
Interpretation:
Options Response in %
Display 10%
Door to Door Demo 22%
Exhibition 10%
Catalogue 46%
Price Off 12%
Interpretation:
Options Response in %
Display 22%
Door to Door Demo 38%
Exhibition 10%
Catalogue 16%
Price Off 14%
Interpretation:
Options Response in %
Display 18%
Door to Door Demo 30%
Exhibition 10%
Catalogue 34%
Price Off 8%
Interpretation:
According to the study 34% insurance care consultants say that the
catalogues is easily manageable, 30% to the door to door demo,18%
insurance care consultants prefer display technique 10% to the
exhibition, and 8% insurance care consultants say to the price off
technique.
Bajaj Allianz General Insurance Co. Ltd.
Interpretation:
Interpretation:
Interpretation:
According to the study 46% insurance care consultants say yes that
the price off are necessary for sales promotion. 40% say no and 14%
say can’t say.
Bajaj Allianz General Insurance Co. Ltd.
Q.9 Do you think that sales promotion program that is presently undertaken by
Bajaj Allianz. are satisfactory?
Options Responses in %
Yes 34%
No 46%
Can’t say 20%
Interpretation :
Options Responses in %
Yes 72%
No 22%
Can’t say 6%
Interpretation :
OBSERVATIONS
&
FINDINGS
Bajaj Allianz General Insurance Co. Ltd.
• This sales promotion process was very much satisfying for me not only
practically and academically but it also helped me in developing my
communication skill and enriched my knowledge also.
• I have come to know about the importance of marketing
especially with regard to Sales Promotion on the most
renowned organization like Bajaj Allianz. Especially because of
emergence of many competitor with excellence in services &
competitive product. The base of this chapter conclusion is on
the data analysis or what we say findings.
• I have finding from the insurance care consultants of the Bajaj Allianz. and
their insurance policies on my topic.
• When the insurance care consultant is asked why they are dealing in this
particular insurance policies (product) they mostly stressed on company’s
image. They also said that all income and age group of customers are attracted
towards their product but buyers are mainly from higher and middle-income
group.
• Insurance care consultants said that their sale is decreased in
the last years because of negative trend in market. Insurance
care consultants said that the customer are curious in getting
insurance policies because they want more discounting on the
products and low claim time after any accident.
Bajaj Allianz General Insurance Co. Ltd.
SUGGESTIONS
Bajaj Allianz General Insurance Co. Ltd.
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.
Bajaj Allianz General Insurance Co. Ltd.
BIBLIOGRAPHY
Books
Websites:
• www.bajajallianz.com
• www.indiainfoline.com
• www.irdaindia.org
• www.thehindubusinessline.com
Bajaj Allianz General Insurance Co. Ltd.
QUESTIONNAIRE
Name : _____________________________________
Address : _____________________________________
C) Exhibition D) Catalogue
E) Price-off
C) Exhibition D) Catalogue
E) Price-off
C) Exhibition D) Catalogue
E) Price-off
C) Exhibition D) Catalogue
E) Price-off
C) Exhibition D) Catalogue
E) Price-off
C) Exhibition D) Catalogue
E) Price-off
C) Exhibition D) Catalogue
E) Price-off
Q.8 Price off and installment offers are necessary for sales
promotion?
A) Yes B) No
Bajaj Allianz General Insurance Co. Ltd.
C) Can’t say
A) Yes B) No
C) Can’t say
A) Yes B) No
C) Can’t say