Project on Max Life Insuranse

A PROJECT REPORT ON MAX LIFE INSURANCS

FOR THE PARTIAL FULLFILLMENT OF BACHELOR OF BUISNESS ADMINISTRATION GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY

SUBMITTED BY: VIPUL BBA (Gen)

SUBMITTED TO: MR AMIT GUPTA

COURSE CORDINATOR OF BBA (Gen)

MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES SECTOR 22, ROHINI NEW DELHI AFFILATED TO GURU GOBIND SINGH INDRPRASTHA UNIVERSITY

ACKNOWLEDGEMENT I here with take the opportunity to express my profound sense of gratitude and reverence to all those who have helped and encouraged me towards the successful completion of the project .It’s been a great experience working on MAX Life insurance .It give me complete insight about how an organization not only survives in cutthroat completion but also maintain a killer instinct in the competitive world. I would like to thank my project guider MR. AMIT GUPTA for his immense guidance .A valuable help and provided me the opportunity to complete the project under his guidance I would like to thanks all the faculty members of MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES for guiding me and supporting me in the completion of this project from time to time Last but not least my greatest gratitude to the almighty and my parents, without their support this dream would have remained dream

Name of the student VIPUL

2

CERTIFICATION This This is to certi certify fy that that VIPUL study study in our instit institute ute MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES was allotted the project on “MAX NEW YORK LIFE INSURANCE” in India by Guru Gobind Singh Inderprastha University has successfully completed it under the guidance of Mr. AMIT GUPTA .

AMIT GUPTA

3

DECLARATION I here by declare that the project work entitled “ MAX NEW YORK LIFE INSURANCE” is an authentic work carried out by me under the guidance of Mr. AMIT GUPTA GUPTA (proje (project ct coordi coordinat nator) or) for a practi practical cal fulfil fulfillme lment nt of the degree of BBA(Gen) and this has not been submitted anywhere else for the award of any degree

Name of the student VIPUL

4

Index CHAPTE R NO.

1.

2.

Particulars

Overview

Page Number

1

Acknowledgement

2

3.

Certificate & Decleration

3-4

4.

Introduction About Company

6-9

5.

Information About Products     

Individual Insurance Group Policy Saving Policy Retirement Policy Children Policy

6.

Research Methodology

7.

Data Obtained

8.

9.

10-36

37

38-43

Analysis Of Data  Points In Favour  Points In Against

44-45

Conclusion

46

Bibliography

47

10.

5

Company Max New York Life Insurance Company Ltd. is a joint venture between New York Life, a Fortune 100 company and Max India Limited, one of India's leading multi business corporations. The company has positioned itself on the quality platform. In line with its vision to be the most admired life insurance company in India, it has deve develo lope ped d a stro strong ng corp corpor orat atee gove govern rnan ance ce mode modell base based d on the the core core valu values es of excellence, honesty, knowledge, caring, integrity and teamwork. The strategy is to establish itself as a trusted life insurance specialist through a quality approach to business. Max New York Life is the first life insurance company in India to be awarded the IS0 9001:2000 certification. Max New York York Life Life was was amon among g the the top top 25 comp compan anie iess to work work with with in Indi India, a, according to 2003 Business World magazine, "Great Workplaces In India", Max New York Life was ranked at the 20th position. This survey is the local version of the "Great Places To Work" survey carried out every year in 22 countries. It is amon among g top top five five most most respe respect cted ed priv privat atee life life insu insura ranc ncee comp compan anie iess in Indi Indiaa according to a 2004 Business World survey.

Financial Strength In line with its values of financial responsibility, Max New York Life has adopted prudent financial practices to ensure safety of policyholder's funds. The Company's paid up capital is Rs. 587 crore, which is more than the norm laid down by IRDA.

Type of Products Offered Max New York Life offers a suite of flexible products. It now has 22 life insurance products and 8 riders that can be customised to over 400 combinations enabling customers to choose the policy that best fits their need. The basic categories are:

6

Distribution System Max New New York York Life Life has has iden identi tifie fied d indi indivi vidu dual al agen agents ts as its its prim primary ary chan channe nell of distribution. The Company places a lot of emphasis on its selection process, which compri comprises ses four four stages stages - screen screening ing,, psych psychome ometric tric test, test, career career semina seminarr and final final interview. The agent advisors are trained in-house to ensure optimal control on quality of training. Max New York Life invests significantly in its training programme and each agent is trained for 152 hours as opposed to the mandatory 100 hours stipulated by the IRDA before beginning to sell in the marketplace. Training is a continuous process for agents at Max New York Life and ensures development of skills and knowledge through a structured programme spread over 500 hours in two years. This focus on continuous quality training has resulted in the company having amongst the highest agent pass rate in IRDA examinations and the agents have the highest productivity among private life insurers. 201 agent adviso advisors rs have have qualifi qualified ed for the Millio Million n Dollar Dollar Round Round Table Table (MDRT) (MDRT) membership membership in 2005. 2005. MDRT is an exclusive exclusive congregation congregation of the world’s top selling insurance agents and is internationally recognized as the standard of excellence in the life insurance business. Havin Having g set set a best best in clas classs agen agency cy dist distrib ribut utio ion n mode modell in plac place, e, the the comp compan any y is spearheading a major thrust into additional distribution channels to further grow its business. The company is using a five-pronged strategy to pursue alternative channels of distribution. These include:  franchisee model  Rural Business  Direct sales force involving group insurance  Telemarketing Opportunities  Bancassurance  Corporate Alliances.

With 201 agents becoming members of the MDRT in 2005 , Max New York Life has moved up in the Top 50 MDRT global list.

7

To become the most admired life insurance company in India.

Values This vision to become India's most admired life insurance company will be realized through its unique set of values, which are as follows:

Knowledge Knowledge leads to expertise; and MNYL expertise is in helping people protect themselves. Perfectly combining global expertise with local knowledge, it is India's life insurance specialist. Max New York Life believes that for knowledge to be of value it must be focused, current, tested and shared.

Caring Max New York York Life Life is redefi redefinin ning g the life life insura insurance nce paradi paradigm gm by focusi focusing ng on cust custom omer erss firs first. t. The The serv service ice proc proces esss is respo respons nsiv ive, e, pers person onal aliz ized ed,, huma humane ne and and empathetic. Every individual who represents the company is for us MNYL brand champion.

Honesty Honesty is the heart of the life insurance business. It is all about trust. Transparency, inte integr grit ity y and and depe depend ndab abil ility ity form form the the corn corners ersto tone ness of the the Max New New York York Life Life experience. The company ensures that everyone who represents the brand carries a promise : we care — in word as well as deed.

Excellence 8

Excellence at Max New York Life implies the ability to perform at a consistently high level. Focused on the value of continuous improvement in people, processes and the organization, the company strives for the highest standards of quality in every aspect of its business.



Become one of the top quartile life insurance companies in India



Be a national player



Be the brand of first choice



Be the employer of choice



Become principal of choice for agents

9

Individual Insurance Whole Life Participating Policy Whole Life Participating Participating Policy provides an insurance insurance cover that is guaranteed guaranteed for your entire life. This policy also builds cash value, which you can use during your lifetim lifetimee to fund fund any unfore unforeseen seen needs needs either either by surren surrender dering ing accumul accumulated ated PUAs PUAs (explained below) or taking a loan. In addition this policy is also eligible for bonuses.

KEY BENEFITS On death of life insured: Sum Assured plus accrued bonuses On Maturity (attaining age 100): Sum Assured plus accrued bonuses Bonus: From 3rd policy year, we will declare bonuses every year Tax benefits: You are entitled to the following tax benefits under Income Tax Act 1961  Your premiums are eligible for deduction u/s 80C up to Rs.100,000/- every

year.  Your DD rider premiums are eligible for an additional deduction u/s 80D up

to Rs.10,000/- every year. Your claim claim amount amountss (from (from death, death, throug through h surren surrender derss or on maturi maturity) ty) are  Your eligible for tax exemption u/s 10(10D). We offer offer you you the the flex flexib ibil ilit ity y to enha enhanc ncee the the valu valuee of your your poli policy cy by usin using g the the following riders/options: 1. Opti Option on to Part Partic icip ipate ate in Prog Progre ress ssiv ivee Bonu Bonuse ses: s: Allo Allows ws you you to top top up your your premiums to purchase additional Sum Assured in your existing policy. It also generates further bonuses. 2. Dread Disease Disease (DD) (DD) Rider: Rider: Pays a lump lump sum amount amount in case you you contract contract any of the ten diseases covered e.g. Heart Attack, Cancer, etc. 3. Personal Personal Accident Accident Benefit Benefit (PAB) Rider: Rider: Pays Pays additional additional insuran insurance ce coverage coverage in case of death or disability caused by an accident. 4. Term Term / Term Term R&C Riders Riders:: Offer Offerss addi additi tion onal al Sum Sum Assu Assure red d to match match your chan changi ging ng need needs. s. The The R&C R&C also also allo allows ws you you the the freed freedom om to buy buy a fresh fresh insurance plan later in your life.

10

5. Waiver Waiver of Premium Premium (WOP) (WOP) / Payor Riders Riders:: Waives Waives your future future premiu premiums ms in case you suffer total disability. The payor rider waives future premiums on your child’s policy in case you suffer total disability 6. Guaran Guarantee teed d Insura Insurabil bility ity Option Option (GIO) Rider: Rider: Allows Allows you to buy guaranteed guaranteed additonal insurance at seven different stages in your life.

Unique features in this policy: 1. Cash Bonuses: You can use your bonuses in the following ways:  Withdraw in cash: bonus will be paid to you by cheque.  Pay your premiums: bonus will be used to pay the next premium.  Increase your Sum Assured: bonus will be used to buy additional layers of

insura insurance nce cover cover in the existi existing ng policy policy by buying buying Paid Paid Up Additi Additions ons (PUA).  Purchase term insurance: bonus will be used to purchase additional coverage valid for one year. 2. Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event. 3. Non Forfeiture Options: In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of your policy. In case you do not want either of the above, you can choose to take the cash value by cheque.

11

Life Partner Plus Life Partner PlusTM Plan offers you powerful triple benefits of –  Money if you live i.e. maturity benefit at age 75  Money if you don't i.e. a Life Insurance coverage till age 75  Money Backs i.e. a part of the Sum Assured at regular intervals to

take care of your periodic foreseen needs.

KEY BENEFITS 1. On death death of life insured: insured: Initia Initiall Sum Assured Assured Plus Plus Sum Assure Assured d of Paid Up Additions through bonuses 2. On survival: survival: Money Money backs backs @ 7.5% 7.5% of the Initial Initial Sum Sum Assured Assured will be be paid on each policy anniversary from age 61 to 75. 3. On maturity: maturity: 100% 100% of Sum Sum Assured Assured with with Sum Assured Assured of Paid Up Addition Additions, s, if any. 4. On Surre Surrende nderr of Policy Policy:: Surren Surrender der valu value. e. 5. Limited Limited Premium Premium Payment Payment term: term: You can choose choose to pay the the premiums premiums over over 4 terms i.e. 3 years, 7 years, 10 years or 20 years. 6. Bonus: Bonus: From From 3rd policy policy year, year, we will will declare declare bonuses bonuses every year. year. 7. Tax Tax benef enefit its: s: You are entitled to the following tax benefits under Income Tax Act 1961: 1. Your Your prem premiu iums ms are are elig eligib ible le for for dedu eductio ction n u/s 80C 80C up to Rs.100,000/- every year. 2. Your DD rider premiums are eligible for an additional deduction u/s 80D up to Rs.10,000/- every year. 3. Your claim amounts (from death, on maturity, or Money Backs or through surrenders) are eligible for tax exemption u/s 10(10D).

Customize your policy to meet your specific needs: We offer offer you you the the flex flexib ibil ilit ity y to enha enhanc ncee the the valu valuee of your your poli policy cy by usin using g the the following riders/options: 1. Dread Disease (DD) Rider: Pays a lump sum amount in case you contract any of the ten diseases covered e.g. Heart Attack, Cancer, etc. 2. Personal Accident Benefit (PAB) Rider: Pays additional insurance coverage in case of death or disability caused by an accident.

12

3. Term / Term R&C Riders: Offers additional Sum Assured to match your chan changi ging ng need needs. s. The The R&C R&C also also allo allows ws you you the the freed freedom om to buy buy a fresh fresh insurance plan later in your life. 4. Waiver of Premium (WOP) / Pay or Riders: Waives your future premiums in case you suffer total disability. The pay or rider waives future premiums on your child’s policy in case you suffer total disability.

Unique features in this policy Cash Bonuses: You can use your bonuses in the following ways:

1. Withdraw Withdraw in cash: bonus bonus will will be paid paid to to you you by cheque. cheque. 2. Pay your your premiums: premiums: bonus bonus will be used to pay the next next premium. premium. 3. Increas Increasee your Sum Assure Assured: d: bonus bonus will be used used to buy addit addition ional al layers layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event. Non Forfeiture Options: In case you are unable to pay your premiums, premiums, your policy policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your

policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of of your policy.

13

Life Protector™ Plus Life Protector™ Plus provides you with a low cost insurance cover during its tenure of 5 years. It is also convertible any time into any permanent life insurance policy from MNYL, so that you are able to take advantage of increasing your savings when your responsibilities increase viz. on marriage, or on child birth.

KEY BENEFITS On death of life insured: Sum Assured. Tax benefits: You are entitled to the following tax benefits under Income Tax Act 1961  Your premiums are eligible for deduction u/s 80C up to Rs.100,000/- every

year.  Your DD rider premiums are eligible for an additional deduction u/s 80D up to Rs.10,000/- every year.  Your claim amount (from death) is eligible for tax exemption u/s 10(10D).

Customize your policy to meet your specific needs: We offer offer you you the the flex flexib ibil ilit ity y to enha enhanc ncee the the valu valuee of your your poli policy cy by usin using g the the following riders/options  Dread Disease (DD) Rider: Pays a lump sum amount in case you contract

any of the ten diseases covered e.g. Heart Attack, Cancer, etc.  Personal Accident Benefit (PAB) Rider: Pays additional insurance coverage in case of death or disability caused by an accident.

Unique features in this policy:  This plan can be renewed every 5 years and is convertible to any permanent

plan at any time during the tenure of the plan.  Special rates for female lives

14

Life Partner PlusTM Plan Life Partner PlusTM Plan offers you powerful triple benefits of –  Money if you live i.e. maturity benefit at age 75  Money if you don't i.e. a Life Insurance coverage till age 75  Money Backs i.e. a part of the Sum Assured at regular intervals to take care of

your periodic foreseen needs.

KEY BENEFITS 1. On death of life insured: Initial Sum Assured Plus Sum Assured of Paid Up Additions through bonuses 2. On survival: Money backs @ 7.5% of the Initial Sum Assured will be paid on each policy anniversary from age 61 to 75. 3. On maturity 100% of Sum Sum Assu Assure red d with with Sum Sum Assu Assure red d of Paid Paid Up maturity:: 100% Additions, if any. 4. On Surrender of Policy: Surrender value. 5. Limited Premium Payment term: You can choose to pay the premiums over 4 terms i.e. 3 years, 7 years, 10 years or 20 years. 6. Bonus: From 3rd policy year, we will declare bonuses every year. 7. Tax Tax ben benef efit its: s: You are entitled to the following tax benefits under Income Tax Act 1961:  Your premiums are eligible for deduction u/s 80C up to Rs.100,000/every year.  Your DD rider premiums are eligible for an additional deduction u/s 80D up to Rs.10,000/- every year.  Your claim amounts (from death, on maturity, or Money Backs or through surrenders) are eligible for tax exemption u/s 10(10D).

Customize your policy to meet your specific needs: We offer offer you you the the flex flexib ibil ilit ity y to enha enhanc ncee the the valu valuee of your your poli policy cy by usin using g the the following riders/options:  Dread Disease (DD) Rider: Pays a lump sum amount in case you contract

any of the ten diseases covered e.g. Heart Attack, Cancer, etc.  Personal Accident Benefit (PAB) Rider: Pays additional insurance coverage in case of death or disability caused by an accident. 15

 Term / Term R&C Riders: Offers additional Sum Assured to match your

chan changi ging ng need needs. s. The The R&C R&C also also allo allows ws you you the the freed freedom om to buy buy a fresh fresh insurance plan later in your life.  Waiver of Premium (WOP) / Pay or Riders: Waives your future premiums in case you suffer total disability. The pay or rider waives future premiums on your child’s policy in case you suffer total disability.

Unique features in this policy: 1. 2. 3. 4.

Cash Bonuses: You can use your bonuses in the following ways: Withdraw in cash: bonus will be paid to you by cheque. Pay your premiums: bonus will be used to pay the next premium. Increase your Sum Assured: bonus will be used to buy additional layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). 5. Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event. 6. Non Forfeiture Options: In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of your policy.

In case you do not want either of the above, you can choose to take the cash value by cheque.

16

Group policy Group Term Insurance Group Term Insurance is the mainstay of our employee benefit platform. Here are some of the key features and benefits:

Group Term Life - Key features and Benefits Easy and and conv conven enie ient nt admi admini nist stra rati tion on one one sing single le mast master er poli policy cy for for all all  Easy       

employees. Group size of at least 25 employees. No upper limit on membership. Policy is valid for one year and can be renewed annually. Uniform or a graded cover can be provided on any basis chosen by your subject to a maximum of three years of salary per employee. In case of death of an employee, due to natural or accidental reasons, the entire sum assured amount is paid to the employer. Addi Additi tion onal al Prot Protec ecti tion on is avai availa labl blee thro throug ugh h ride riders rs for for Crit Critic ical al Illne Illness ss,, Accidental Death Benefits, Disability and Dismemberment. New members can join and out going members can leave the scheme at any time with premium adjustment.

17

Group Term Insurance Scheme Overview of EDLI Scheme, 1976 All establishments with at least 10 full-time permanent employees and to whom the Employee's Provident Fund and Miscellaneous Provisions Act, 1952 applies, have a statut statutory ory liabil liability ity to subsc subscrib ribee to Emplo Employee yee's 's Deposi Depositt Linked Linked Insura Insurance nce Scheme Scheme (EDLI), 1976 to provide for life insurance for all their employees. The organization has to make a contribution @ 0.51% of each employee's wages (Basic + Dearness Allowance + Retaining Allowance), subject to a maximum of Rs.6,500 per month, to the Provident Fund Authorities as part of its compliance to the Act. The death benefit payable under this scheme is based on the provident fund account balance of the individual member, subject to a maximum of Rs.60,000.

A solution unique

which

is

simple,

flexible

and

Under Section 17 (2-A) of the Provident Fund Act, the Central Provident Fund Commissioner may, if requested to do so by the employer, by notification in the Official Gazette, exempt, whether prospectively or retrospectively, any establishment from the provisions of the EDLI scheme, if he is satisfied that the employees of such establishment, without making any separate contribution or payment of premium, enjoy enjoy life life insura insurance nce benefit benefitss more more favour favourabl ablee than than the benefit benefitss under under the EDLI EDLI scheme. Max New York Life Insurance Co. Ltd offers Group Term Insurance Scheme, a unique, simple and flexible scheme, that is a far better alternative to the Employee Deposit Linked Insurance Scheme (EDLI) because of the benefits it offers to both the employ employer er and the employ employee. ee. The Employ Employees ees Provid Provident ent Fund Fund Organi Organisat sation ion has approved this scheme as an alternative to EDLI scheme. The organization will enjoy the following advantages by subscribing to the Max New york Life Group Term Insurance as compared to the EDLI scheme: payable by the employer under the Max New York Life Group  The premium payable Term Insurance Scheme will be usually less than the total contribution being paid by the employer to Regional Provident Fund Commissioner, particularly 18

when average age of the group is low and the employer is in a low-risk industry.  Flexibility to opt for either a uniform flat cover for all employees or a graded cover as per notional PF balance.  Well defined and simplified claim process will ensure quicker and hassle-free claim settlement.  Administrative convenience for additions and deletions of members with no elaborate paperwork. Credit Shield is a protection cover, which ensures that the loan amount is paid back to the lender in case of an untimely demise of the borrower.

Convenient Structuring The plan can be conveniently structured in a way such that the entire loan amount or the balance loan amount is paid up in case of the untimely demise of the borrower. The premiums can also be adjusted every year according to the reducing loan balance amount. This plan provides total peace of mind because in case of an untimely demise of the borrower, the family is not burdened with the loan. After an employee has rendered continuous service for at least five years, he/ she is eligible for 15 of days pay for each completed year of service. The employer can also structure a gratuity benefit that is higher than statutory requirements. The gratuity ben benef efit it is paya payabl blee on cess cessat atio ion n of empl employ oyme ment nt (eit (eithe herr by resig resigna nati tion on,, deat death, h, retirement or termination etc), by taking last drawn basic salary as the basis for the calculation. Gratuity payment is a statutory liability for an organization and tends to increase as the salaries and tenure of employment increase annually. In case of big, developing & growing organization, gratuity payout can work out to a substantial amount. If the employer employer pays gratuity from its current current revenue, it may become difficult difficult to meet the liability, it is therefore prudent and also beneficial that a gratuity fund is set up.

Benefits of the Group Gratuity Plan Invest stme ment nt  Inve    

mana manage geme ment nt in a cons conser erva vati tive ve mann manner er to ensu ensure re stea steady dy appreciation in fund income. Employees can be insured for the future service gratuity for full-anticipated service. Scient Scientific ific fundin funding g of gratui gratuity ty on actuar actuarial ial valuat valuation ion and hence hence superio superior r planning for gratuity payments. Past gratuity liability contribution can be made in installments. Contributions are exempt under income tax act.

Benefits to the members  Max New York Life will provide statement of account every quarter.  Free Actuarial Valuation for future gratuity liability.

19

 For a new fund Max New York Life can assist in formation of the Trust and

its documentation.  An existing Gratuity Fund can be taken over by MNYL and we will offer assistance assistance in documentatio documentation n like Deed of variation variation to the original Trust Deed etc.

Basic Guidelines for Max New York Life Group Gratuity Scheme 1. Eligibility: All employees (members) above the age of 18 are eligible for this plan. Existing fund approved by the Income Tax Commissioner should be administered through Trustees under a Trust. 2. Contribution: The Trust will make the contribution to the fund. Contribution can be made quarterly, half-yearly or yearly. 3. Surrender Fee: In case a Policyholder wants to surrender the policy, a surrender fee is applicable. This fee is based on the realizable market value of the assets and depending upon the duration of the association with Max New York Life.  Term Insurance Cover  Term insurance cover equal to future service gratuity  Premium for term insurance cover will be computed separately.  The insurance cover will also form part of Group Gratuity policy.  Insurance cover will be paid only on the death of the member.

Gratuity is a statutory benefit to the employees under the Payment of Gratuity Act 1972. 1972. After the employee employee has rendered rendered continuous continuous service for at least five years, he/ she is eligible for 15 days pay for each completed year of service. The gratuity benefit is payable on cessation of employment (either by resignation, death, retirement or termination etc), by taking last drawn basic salary as the basis for the calculation. Gratuity payment is a statutory liability for an organization and tends to increase as the salaries and tenure of employment increase annually. In case of big, developing & growing organization, gratuity payout can work out to a substantial amount. If the trust pays gratuity from its current revenue, it becomes difficult to meet the liability, it is therefore beneficial that a gratuity fund is set up for prudent financial planning. Apart from being used as an effective tool to reward loyal employees, Gratuity can be considered as a powerful tool to retain employees as well. This can be done by structuring structuring a higher higher gratuity gratuity benefit benefit than the statutory statutory requirements. requirements. Max New York Life has made the Group Insurance portfolio more robust by launching the Unit Linked Gratuity Plan. Max New York can now offer you two options of: 1. Non unit Linked or Traditional Group Gratuity Plan: which facilitates systematic and steady funding of the liability 2. Unit Linked Group Gratuity Plan: which facilitates steady funding and the opportunity of Increased returns on investment.

20

Bene Benefi fits ts of the the Unit Unit Link Linked ed Grou Group p Grat Gratui uity ty Plan  Opportunity for growing the fund safely and prudently by managing the fund

    

invest investmen ments ts proper properly ly and maximi maximizin zing g the returns returns on the invest investmen ments ts and thereby bringing down the costs of the funding liability in the future. Multiple Flexible Investment options based on the risk taking ability of the trust. Lives cover for full-anticipated service. Contributions are exempted from Tax. Total Transparency in charges and the returns declared. Complete range of services provided: Taxation, Legal, Investment .

Product Features Eligibility • Employer-Employee Groups • Group Size of 25 members or more • Employees between age 18 and retirement age of the company

Contributions MNYL will open and manage a Unit Account for the Trustees in which units are allocated and cancelled for the purpose of paying Gratuity The trust also pays a premium for the life insurance cover. This cover could be either the future service liability or a uniform/graded cover On receiving a claim, MNYL will redeem the units in the investment fund and pay the gratuity benefit In case case of deat death h of an insu insure red d memb member, er, MNYL will also also pay pay the the sum sum assu assure red d applicable for that member in addition to the gratuity benefit Contributions to be made towards the Gratuity Liability by the Trust to MNYL would be as per Actuarial Valuation – Post AS-15 certification Past Service Gratuity Liability payment can be made over a period of 5 years The annual contributions can be made annually/half yearly/quarterly/monthly Redirection Annual contributions can be invested as per new fund break-up, not adhering to the initial investment break-up. This gives more flexibility for better financial planning as per specific requirements.

Charge Structure MNYL unit linked Gratuity has one of the most transparent charge structures in the market currently. The Fund Management charge is also extremely competitive. Fund Management Management Charges - The fund management management charge is levied as a percentage percentage of value of assets and shall be appropriated by adjusting the Net Assets Value.

21

Switching: MNYL UL Group Gratuity plan offers its clients a flexibility to switch funds funds from exitin exiting g fund fund to any other other fund fund option options, s, as per trust rules. rules. Two free switches in one policy year can be availed by the clients. Surrender Fee: is applicable if a policyholder wants to surrender the policy. This fee is based on the length of association with Max New York Life.

Fund options MNYL Group Gratuity plan is a market linked investment product, which offers 3 fund options to choose from. Fund Options – Fund Type Description Asset Types Conservative Fund (%) Balanced Fund (%) Growth Fund (%) Govt. Securities 50-80 20-50 0-30 Corp Corpor orat atee Bon Bonds ds (Inv (Inves estm tmen entt Gra Grade de)) 0-50 0-50 20-4 20-40 0 0-30 0-30 Cash/Call Mo Money Ma Markets 0-20 0-20 0-20 Equities Nil 10-40 20-60

The MNYL Advantage  Fund Management Philosophy

Totall Tran Transp spar aren ency cy in char charge ges, s, retu return rnss decl declar ared ed and and the the port portfo foli lio o of  Tota investments.  Flexibility in premium payments, redirection of premiums, term cover.  Superior Service • ISO certified Operations & Processes • Free and diversified services: legal, investment, taxation • Dedicated Relationship Manager • Effective Transaction Processing & Superior Turnaround Times • Robust Data Management With High Confidentiality Maintained  Most Transparent charges and Low Fund Management Charges

22

Saving Life Life Pay™ Pay™ Mone Money y Back Back Plan Plan (Par (Parti tici cipa pati ting ng)) Policy Life Pay™ Money Back Plan (Participating) Policy will keep paying you a part of the Sum Assured at regular intervals, to take care of your periodic foreseen needs, and the balance keeps growing to take care of your long term saving needs, as well as provides insurance coverage till maturity. In addition this policy is also eligible for bonuses.

KEY BENEFITS 1. 2. 3. 4.

On death of life insured: Sum Assured plus Sum Assured of Paid Up Additions (without deducting any money back installments, if already paid). On mat matur urit ity: y: Sum Sum Ass Assur ured ed les lesss mone money y back backss alre alread ady y paid paid plu pluss 10% 10% of of SA as as guaranteed addition plus accrued bonuses. Bonu Bonus: s: Fro From m 3rd 3rd pol polic icy y yea year, r, we we will will dec decla lare re bon bonus uses es eve every ry yea year. r. Tax benefits:  You are entitled to the following tax benefits under Income Tax Act 1961:  Your premiums are eligible for deduction u/s 80C up to Rs.100,000/every year. premiums are eligible eligible for an additional additional deduction deduction u/s 80D  Your DD rider premiums up to Rs.10,000/- every year.  Your claim amounts (from death, thorugh surrenders or on maturity) are eligible for tax exemption u/s 10(10D).

Customize your policy to meet your specific needs:

23

We offer offer you you the the flex flexib ibil ilit ity y to enha enhanc ncee the the valu valuee of your your poli policy cy by usin using g the the following riders/options: 1. Dread Disease (DD) Rider: Pays a lump sum amount in case you contract any of the ten diseases covered e.g. Heart Attack, Cancer, etc. 2. Personal Accident Benefit (PAB) Rider: Pays additional insurance coverage in case of death or disability caused by an accident. 3. Term / Term R&C Riders: Offers Offers additi additiona onall Sum Assure Assured d to match match your your changing needs. The R&C also allows you the freedom to buy a fresh insurance plan later in your life. 4. Waiver of Premium (WOP) / Pay or Riders: Waives your future premiums in case you suffer total disability. The pay or rider waives future premiums on your child’s policy in case you suffer total disability.

Unique features in this policy: 1. Cash Bonuses: You can use your bonuses in the following ways: 2. Withdraw in cash: bonus will be paid to you by cheque. 3. Pay your premiums: bonus will be used to pay the next premium. 4. Increase your Sum Assured: bonus will be used to buy additional layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). 5. Non Forfeiture Options: In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of your policy. In case you do not want either of the above, you can choose to take the cash value by cheque.

24

Life Life Gain™ Gain™ Plus Plus Endow Endowmen mentt (Parti (Particip cipati ating) ng) Policy Life Gain™ Plus Endowment (Participating) Policy provides you with an insurance cover that is guaranteed during the tenure of the policy. This policy also builds cash value, which you can use during your lifetime to fund any unforeseen needs either by surrenderin surrendering g accumulated accumulated PUAs (explained below) or taking taking a loan. In addition addition this policy is also eligible for bonuses.

KEY BENEFITS On death of life insured: the firs firstt 5 year yearss- Sum Assur Assured ed plus plus additi additiona onall insura insurance nce covera coverage ge  In the    

purchased from bonuses. After 5 years- Double the Sum Assured plus additional insurance coverage purchased from bonuses. On maturity: Sum Assured plus accrued bonus plus Guaranteed Additions @ 10% of Sum Assured. On Surrender of Policy: Surrender value. Bonus: From 3rd policy year, we will declare bonuses every year.

Customize your policy to meet your specific needs: We offer offer you you the the flex flexib ibil ilit ity y to enha enhanc ncee the the valu valuee of your your poli policy cy by usin using g the the following riders/options: 1. Dread Disease (DD) Rider: Pays a lump sum amount in case you contract any of the ten diseases covered e.g. Heart Attack, Cancer, etc.

25

2. Personal Accident Benefit (PAB) Rider: Pays additional insurance coverage in case of death or disability caused by an accident. 3. Term / Term R&C Riders: Offers Offers additi additiona onall Sum Assure Assured d to match match your your changing needs. The R&C also allows you the freedom to buy a fresh insurance plan later in your life. 4. Waiver of Premium (WOP) / Pay or Riders: Waives your future premiums in case you suffer total disability. The pay or rider waives future premiums on your child’s policy in case you suffer total disability.

Unique features in this policy: 1. Cash Bonuses: You can use your bonuses in the following ways: 2. Withdraw in cash: bonus will be paid to you by cheque. 3. Pay your premiums: bonus will be used to pay the next premium. 4. Increase your Sum Assured: bonus will be used to buy additional layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). 5. Limited period of premium payment: so that you pay only during the years that you are earning, while you enjoy the insurance coverage for a longer period. 6. Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event. 7. Non Forfeiture Options: In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of your policy. 8. Automatic Premium Loan: You can take a loan from the existing accumulation to pay your future premiums. In case you do not want either of the above, you can choose to take the cash value by cheque.

26

20 year Endowment (Participating) Policy 20 year Endowment Endowment (Participatin (Participating) g) Policy helps you save for specific specific need 20 years from now viz.  Higher education of your child, or  Children's marriage, or  To buy a house, or  To pay off a housing loan, or  To create a fund for your retirement  Provides you with an insurance cover to protect your family from financial uncertainties in case of your untimely death during this period. This policy will mature exactly 20 years after you buy it, and during this period, it also builds cash value. This policy is also eligible for bonuses. You may use the cash value value and/or and/or the bonus bonuses es to fund fund any unfore unforesee seen n needs needs either either by surren surrender dering ing accumulated PUAs (explained below) or taking a loan.

KEY BENEFITS  On death of life insured or on maturity: Sum Assured plus accrued bonuses.  On Surrender of Policy: Surrender value.  Bonus: From 3rd policy year, we will declare bonuses every year.  Tax benefits:

You are entitled to the following tax benefits under Income Tax Act 1961: o Your premiums are eligible for deduction u/s 80C up to Rs.100,000/every year.

27

o

o

Your DD rider premiums premiums are eligible eligible for an additional additional deduction deduction u/s 80D up to Rs.10,000/- every year. Your claim amounts (from death, on maturity or through surrenders) are eligible for tax exemption u/s 10(10D).

Customize your policy to meet your specific needs: We offer offer you you the the flex flexib ibil ilit ity y to enha enhanc ncee the the valu valuee of your your poli policy cy by usin using g the the following riders/options: 1. Dread Disease (DD) Rider: Pays a lump sum amount in case you contract any of the ten diseases covered e.g. Heart Attack, Cancer, etc. 2. Personal Accident Benefit (PAB) Rider: Pays additional insurance coverage in case of death or disability caused by an accident. 3. Term / Term R&C Riders: Offers Offers additi additiona onall Sum Assure Assured d to match match your your changing needs. The R&C also allows you the freedom to buy a fresh insurance plan later in your life. 4. Waiver of Premium (WOP) / Pay or Riders: Waives your future premiums in case you suffer total disability. The pay or rider waives future premiums on your child’s policy in case you suffer total disability.

Unique features in this policy: 1. Cash Bonuses: You can use your bonuses in the following ways: 2. Withdraw in cash: bonus will be paid to you by cheque. 3. Pay your premiums: bonus will be used to pay the next premium. 4. Increase your Sum Assured: bonus will be used to buy additional layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). 5. Limited period of premium payment: so that you pay only during the years that you are earning, while you enjoy the insurance coverage for a longer period. 6. Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event. 7. Non Forfeiture Options: In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of your policy. In case you do not want either of the above, you can choose to take the cash value by cheque.

28

Life Gain™ Endowment Policy Life Life Gain Gain™ ™ Endo Endowm wmen entt Polic Policy y prov provid ides es you you with with an insu insura ranc ncee cove coverr that that is guaranteed during the tenure of the policy. This policy also builds cash value, which you can use during your lifetime to fund any unforeseen needs either by surrendering accumulated PUAs (explained below) or taking a loan. In addition this policy is also eligible for bonuses.

KEY BENEFITS  On death of life insured: Sum Assured plus accured bonus  On maturity: Sum Assured plus Guaranteed Addition @ 10% of Sum Assured

plus accrued bonus plus terminal bonus (if any).  On Surrender of Policy: Surrender value.  Bonus: From 3rd policy year, we will declare bonuses every year.  Tax benefits: You are entitled to the following tax benefits under Income Tax Act 1961: o Your premiums are eligible for deduction u/s 80C up to Rs.100,000/every year. o Your DD rider premiums premiums are eligible eligible for an additional additional deduction deduction u/s 80D up to Rs.10,000/- every year. Your claim amounts (from death, on maturity or through surrenders) are o eligible for tax exemption u/s 10(10D).

29


Unique features in this policy: 1. Cash Bonuses: You can use your bonuses in the following ways: 2. Withdraw in cash: bonus will be paid to you by cheque. 3. Pay your premiums: bonus will be used to pay the next premium. 4. Increase your Sum Assured: bonus will be used to buy additional layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). 5. Limited period of premium payment: so that you pay only during the years that you are earning, while you enjoy the insurance coverage for a longer period. 6. Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event. 7. Non Forfeiture Options: In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of your policy. In case you do not want either of the above, you can choose to take the cash value by cheque.

30

Retirement Easy Easy Life Life™ ™ Re Reti tire reme ment nt Plan Plan (Par (Parti tici cipa pati ting ng)) Policy Easy Life™ Retirement Plan (Participating) Policy helps you to save money for your retir retireme ement nt,, and and also also prov provid ides es you you with with an oppo opport rtun unit ity y to take take home home a regul regular ar retir retireme ement nt inco income me (i.e. (i.e. pens pensio ion) n) for for your your enti entire re life life from from your your chos chosen en date date of retirement. This income is a guaranteed amount, guaranteed when your annuity starts. In addition this policy is also eligible for bonuses.

KEY BENEFITS  On death of life insured: Refund of accumulated premiums plus cash value of    

additional pure endowments purchased from bonuses. Assured d plus plus additi additiona onall insura insurance nce On the chosen chosen ret retire iremen mentt date: date: Sum Assure coverage purchased in way of bonuses. On Surrender: Surrender value (minimum guaranteed @ 55% of premiums paid). Bonus: From 3rd policy year, we will declare bonuses every year. Tax benefits:

31

You are entitled to the following tax benefits under Income Tax Act 1961: o Your premiums are eligible for deduction u/s 80CCC (1) up to Rs.10,000/every year. Your claim amounts (from death, on maturity or through surrenders) are o eligible for tax exemption u/s 10(10D).

Unique features in this policy :  

 



Bonuses: Your bonuses are used to purchase pure endowments, which add to the value of your policy. Annuity Options: You can use the maturity value to buy an annuity from us or any any othe otherr IRDA IRDA appr approv oved ed annu annuit ity y prov provid ider. er. We curre current ntly ly offer offer the the following annuity options: Annuity for life: you will receive a fixed amount for your entire life. Annuity for a guaranteed minimum period of 5/10/15/20 years and for life case death death occurs occurs to you before before the guarante guaranteed ed minimu minimum m thereafter: In case period, we shall still pay the annuity to your family for the balance of the guaranteed minimum period chosen by you. Life Annuity with Return of Annuity Purchase Price: In case of your death, we shall refund the original maturity value you had used to buy your annuity.

Endowment to age 60 policy Endowment to age 60 policy is a quasi retirement policy that helps you to save primarily for your retired life. It will mature on the policy anniversary after your 60th birthday, and enables you to use the maturity proceeds in many ways viz.  Purchase a pension from any life insurance company  Purchase that house in your hometown where you want to lead your retired

life  Pay for your child’s higher education or marriage and also provides you with an insurance cover to protect protect your family from financial uncertainties uncertainties in case of your untimely death before reaching age 60.  Till age 60, this policy also builds cash value, and is eligible for bonuses .  You may use the cash value and/or the bonuses to fund any unforeseen needs either by surrendering accumulated PUAs (explained below) or taking a loan.

KEY BENEFITS Assured d plus plus accrue accrued d bonus bonuses es plus plus death h of the the life life insu insure red: d: Sum Assure  On deat terminal bonus (if any).

32

 On maturity (attaining age 60): Sum Assured plus accrued bonuses plus

terminal bonus (if any).  On Surrender of Policy: Surrender value.  Bonus: From 3rd policy year, we will declare bonuses every year.  Tax benefits: You are entitled to the following tax benefits under Income Tax Act 1961: Your premiums are eligible for deduction u/s 80C up to Rs.100,000/o every year. Your DD rider premiums are eligible for an additional deduction u/s o 80D up to Rs.10,000/- every year. o Your claim amounts (from death, on maturity or through surrenders) are eligible for tax exemption u/s 10(10D).


Unique features in this policy: 1. Cash Bonuses: You can use your bonuses in the following ways: 2. Withdraw in cash: bonus will be paid to you by cheque. 3. Pay your premiums: bonus will be used to pay the next premium. 4. Increase your Sum Assured: bonus will be used to buy additional layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). 5. Limited period of premium payment: so that you pay only during the years that you are earning, while you enjoy the insurance coverage for a longer period. 6. Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event. 7. Non Forfeiture Options: In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash value to buy you insurance coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.

33

 Extended Term Insurance: The same Sum Assured for part of the remaining

term of your policy. In case you do not want either of the above, you can choose to take the cash value by cheque.

Children Children's Endowment 18 & 24 Policy Children's Endowment 18 & 24 Policy enables you to provide for specific needs of your growing children viz.  Child Endowment to Age 18 enables you to provide for higher education of

your child.  Child Endowment to Age 24 enables you to provide for the best possible wedding of your child and also builds cash value, which you can use during to fund any unforeseen needs by taking a loan.  In addition this policy is also eligible for bonuses.

KEY BENEFITS

34

 On death of life insured:

Refund of premiums plus interest plus accrued

bonus.  On Maturity: Sum Assured plus accrued bonus.  On Surrender of Policy: Surrender value.  Bonus: From 3rd policy year, we will declare bonuses every year.  Tax benefits: You are entitled to the following tax benefits under Income Tax Act 1961: o Your premiums are eligible for deduction u/s 80C up to Rs.100,000/every year. o Your claim amounts (from death, on maturity or through surrenders) are eligible for tax exemption u/s 10(10D).

Customize your policy to meet your specific needs: We recommend that you enhance the value of your policy by buying the following rider: Pay or Rider: Waives your future premiums in case you suffer total disability or meet with an untimely untimely death. This ensures ensures that your child will still get the lump sum money on attaining age 18 or 24.

Unique features in this policy:  Cash Bonuses: bonus will be paid to you by cheque.  Non Forfeiture Options: In case you are unable to pay your premiums, your

pol polic icy y will will laps lapsee and and we will will util utilize ize your your cash cash valu valuee to buy buy you you insu insura ranc ncee coverage in the following way:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy. In case you do not want the above, you can choose to either take the cash value by cheque or opt for Automatic Premium Loan(APL): whereby your cash value will be utilized to create a loan and pay your next premium.  Upon your child attaining the age of 18, he/she will have the option to buy a

permanent permanent life insurance insurance policy policy without without medical medical underwritin underwriting g (irrespective (irrespective of his/her health at that time). On maturity of the policy, the benefits payable under the policy shall automatically vest with your child – so that your child received the benefits.

35

Step Steppi ping ng Ston Stones es™ ™ Chil Child d Mone Money y Back Back Plan Plan (Participating) Policy Stepping Stones™ Child Money Back Plan (Participating) Policy is a smart way to plan for and secure your child's future irrespective of whether you are there or not. It provides you with regular money when it is required. This policy also builds cash value, which you can use during your lifetime to fund any unforeseen needs by surrendering accumulated PUAs (explained below). In addition this policy is also eligible for bonuses.

KEY BENEFITS

36

Assured d along along with with additi additiona onall insura insurance nce death of life life insure insured: d: Sum Assure  On death coverage purchased in way of bonuses. Five years before maturity 30% of Sum Assured, Two years before maturity – 35% of Sum Assured, at maturity – 35% of Sum Assured plus 30% of Guaranteed Sum Assured.  On Survival / maturity: Five years before maturity 30% of Sum Assured, Two years before maturity – 35% of Sum Assured, at maturity – 35% of Sum Assured + 30% of Sum Assured as Guaranteed Additions plus additional insurance coverage purchased from bonuses. Bonus: From 3rd policy year, we will declare bonuses every year.  Tax benefits: You are entitled to the following tax benefits under Income Tax Act 1961: o Your premiums are eligible for deduction u/s 80C up to Rs.100,000/every year. o Your DD rider premiums are eligible for an additional deduction u/s 80D up to Rs.10,000/- every year. o Your claim amounts (from death, on maturity or through surrenders) are eligible for tax exemption u/s 10(10D).


Unique features in this policy:     

Cash Bonuses: You can use your bonuses in the following ways: Withdraw in cash: bonus will be paid to you by cheque. Pay your premiums: bonus will be used to pay the next premium. Increase your Sum Assured: bonus will be used to buy additional layers of insurance cover in the existing policy by buying Paid Up Additions (PUA). Terminal Illness Benefit: Pays 50% of Sum Assured (subject to maximum of Rs. 5,00,000/-) to you in case you are diagnosed to be suffering from a terminal illness

37

that can lead to death in 6 months; you can use this money for your treatment. The balance of the sum assured and the bonuses will be payable to your family on the occurrence of the Insured Event.  Non Forfeiture Options: In case you are unable to pay your premiums, your pol polic icy y will will laps lapsee and and we will will util utilize ize your your cash cash valu valuee to buy buy you you insu insura ranc ncee coverage in one of the following ways:  Reduced Paid Up: A lower Sum Assured for the remaining term of your policy.  Extended Term Insurance: The same Sum Assured for part of the remaining term of your policy. In case you do not want either of the above, you can choose to take the cash value by cheque.

The research methodology used while making this project has been two pronged. The project has made use of both primary as well as secondary data.

38

Pri Prima mary ry by cond conduc ucti ting ng a surv survey ey and and seco second ndar aryy by usin using g information given on the net to provide details of the products offered by the company.

1. Are you aware of Max New York Life Insurance Company?

39

Knowledge about MNYL

Yes

No

2. What kind of products do you think MNYL provide? a. b. b. c. d. e.

Indi Indivi vidu dual al lif lifee ins insur uran ance ce Grou Group p insu insura ranc ncee Chil Childr dren en poli policy cy Reti Retire reme ment nt bene benefi fits ts All All of of the the abov abovee

Knowledge about MNYL products

3. Have you ever been solicited by a MNYL advisor? yes 30% no 70%

40

4. Do you have a policy of MNYL? a. Yes b. No

Policyholde r

No

Yes

For those who have answered YES, 1. What policy you have?  Individual life insurance  Group insurance  Children policy  Retirement benefits

Kind of Policy

Individual Life

Group

Children

2. How would you rate it on a scale of 5?

41

Retirement

Rating

0--1 4--5

1--2

2--3

3--4

3. Are you satisfied with the product?  Yes  No

Product popularity

Yes No

4. What distinguishing feature do you find f ind in MNYL?  Better service  Individual attention  Claim settlement  Superior products

Feature

Better Service

Individual Attention

Clai m S et ettlement

5. Why you took a MNYL policy?

42

Bet te ter P ro roduct

 Advisor presentation  Friend’s advice  Your own judgement Reason for Buying MNYL product

Advisor Friend own judgement

6. Would you take another MNYL policy?  Yes  No

Possibility Possibility of new purchase

35% Yes No 65%

For those who answered NO,

43

1. Why did you not take MNYL policy?  Already had one  Have no information about MNYL  Nobody approached me  Don’t like MNYL products

Reason for not taking MNYL propduct

2. Do you think other company products are better?  Yes  No  Can’t say

Yes

No

44

Cant say

Points in Favour of MNYL  Good Market penetration

As seen from the data obtained MNYL has good marker penetration for a relatively new company with more than 60% of people having its policy. Satisfactory Knowledge about product  Satisfactory

Knowledge about MNYL product is quite good in the market with a majority telling about the products offered by MNYL.  Good Solicitation rate

About 2/3 of the respondents have been solicited by MNYL advisors. This concludes that work put up by advisors is appreciable.  Have got good scaling from those who have MNYL product

More than half of those who have a MNYL policy have scaled it in the region of 3+ range shows its popularity among the people.  Majority of Policyholders satisfied

More than 90% of policyholders are satisfied with the product, a phenomena which augurs well for the company.  Advisor good at convincing People

Adviso Advisor’s r’s presen presentat tation ion is one of the clinch clinching ing factors factors while while decidi deciding ng the policy. A point which again vindicate the advisors.  Chances of new prospects HIGH

Both the existing existing and non-existi non-existing ng policyhol policyholders ders are showing showing a keen interest in the company. Those who don’t don’t have have policy policy majori majority ty cited cited “Alre “Already ady have have one” one” as  Those reason. This shows that supposed or actual inferiority of MNYL product do not have a big hand in people selecting other policy over MNYL.  Even those who don’t have policy would like to be our customer

A welcoming trend which means that there are chances of increased customer base for MNYL.

45

Points against MNYL  

Unsolicited persons number high The respondents unsolicited by MNYL advisors is still high, a point which is not in the favor of a new company.



MNYL regarded as “average” by most number of people.  Most of the people have put MNYL in 3-4 category which means that it is being viewed as an average company by the people.  

 

 

 

Group policy does not has many customers Group policy provided by MNYL is neither popular nor is taken by a “good” number of people. Steps should be taken in this regard. Individual Attention is not given to everybody. Lack of individual attention is cited as one of the reasons mentioned by many of the people. People are unaware about special feature of MNYL Peop People le both both poli policy cyho hold lder erss and and nonnon-po poli licy cyho hold lder erss do not not have have much much information about the special features of MNYL, which essentially demarcates MNYL from other companies. Those who don’t have our policy majority ranked MNYL lower than competitor. People who do not have our policy have rated MNYL lower than other competitors.

46

MNYL has market penetration and awareness about it is high in the market. But it can take following steps to even better itself:  Increase number of people solicited by MNYL o

Sinc Sincee MNYL MNYL is a new new comp compan any y it shou should ld stri strive ve to incr increa ease se its its solicitation rate.

 Create awareness in people about high quality standards which MNYL

possess. o People should be made aware of the high quality standards adopted by the the MNYL MNYL,, espe especi cial ally ly that that the the fact fact that that it is the the only only comp compan any y authorized by IRDA to have in-house training for aspiring advisors.  Popularize Group Policy. o

Group policy must be advertised as awareness about it is quite less among people.

 Give personal attention to customer. o

Personal attention must be provided to all as it is cited as one of the deficiencies of MNYL.

 Advertise about MNYL special feature. o

MNYL special features should be well advertised to ensure that people know what set MNYL apart from its competitors.

 Bank upon those people who might take MNYL policy. o

MNYL should ensure that those who have shown willingness towards taking its policy should be contacted c ontacted and banked upon.

47

Source for Primary Data  Respondents – 80  Guidance from project guide with regard to formation of Questionnaire

Source of Secondary Data  www.maxnewyorllife.com  Inputs form Mr. Sanjeev Pathak

48

49

Project on Max Life Insuranse

Recommend Documents