Channel Development Associate – Our face, Our Pridekaserparmodbansal.yolasite.com/resources/CDA[1].pdfA Reliance Capital company CDA – The Associate A potential Channel Development

A Reliance Capital company

Channel Development Associate – Our face, Our Pride


CDA – The Concept A Channel Development Associate is a person who operates like a

franchisee on an outsourced business model and runs his business like a full fledged branch office.

The ideal Channel Development Associate (CDA) is an individual with a strong entrepreneurial drive, managerial expertise, domain knowledge and a passion to succeed against all odds.

Apart from strong business acumen, CDA must possess high ethical standards of business and impeccable credential in the market.

CDA channel forms the most critical element in the distribution strategy of Reliance Life and as a result has a very high sensitivity for the deliverables under the business plan.


CDA – The Associate A potential Channel Development Associate need to have two kinds of attributes:

Economical Behavioral

Economical Attributes would involve - Proven track record in the business of life insurance, financial products or services. Capable of investing an amount between Rs.5-15 lakhs Access to a large base of potential customers and agents

Behavioral Attributes would represent - Strong entrepreneurial spirit and drive Passion to succeed against odds Honesty and integrity Long term commitment to business Leadership and managerial skills. Excellent Communication skills.


CDA – The Role Being a CDA is like being the face of Reliance Life Insurance Company

Ltd. While we offer you attractive means of earning we also help you fulfill

your dreams of owning your own business. CDA is distributorship or a franchisee of Reliance Life Insurance, who

recruits a team of advisors, train them, motivates them and solicits business through them.


CDA – Start Up and Upward Progression The distribution set up can be owned by any individual based on the economical

and behavioral attributes as mentioned above. A 7-level progression structure for CDA’s has been provided for based on the

business targets, with entry level being at Rookie Level. CDAs can keep progressing to the higher levels on attainment of the set

norms…and for those who deserve more, we present the FASTTRACK>>> Up gradation Up gradation Norms

From To 1 Year 6 months FAST TRACK 3 months

Rookie Silver 1 500000 500000 500000Silver 1 Silver 2 2000000 1200000 800000Silver 2 Lite 7500000 4500000 3000000Lite Gold 15000000 9000000 6000000Gold Gold Plus 25000000 15000000 10000000Gold Plus Elite 25000000 15000000 10000000

1. With every level change the business will become zero and CDA will have to restart his accumulation for the purpose of up gradation.

2. Once upgraded, the targets for upgraded level will become applicable from that day onwards.


Minimum Business Requirement As the volumes increase, the status of distributor shall be kept on upgrading

depending upon the business volumes generated during the financial year. Levels of CDA Category and the minimum business requirement per annum

for retention of the acquired levels.

CDA Category Minimum Business Requirement per annumRookie 0- 500,000Silver 5,00,000Silver 2 20,00,000Lite 75,00,000Gold 1 1,50,00,000Gold Plus 2,50,00,000Elite 5,00,00,000*CDA will have to do a min of 20% of yearly target in each quarter to avoid degradation.

*Incase if CDA cannot achieve the minimum business requirement, he could be degraded to the level based on his actual performance for the quarter. Reinstatement would be possible only through performance as per the upgradation matrix .


CDA – The Compensation While Advisors are paid commission as stipulated by IRDA, the CDA’s are remunerated on

the various parameters. Broadly the various ways, the CDA’s are remunerated are divided into 2 parts

Cash benefits Variable Fees Special Product Fee Advisor Recruitment and Activisation Fees Mobile and Conveyance Allowance Business Persistency Fees Team Activisation Allowance Client Acquisition Allowance Office Set Up and Maintenance Allowance Customer Care Transaction Fees Club Lounge Early Bird High Flyer

Support & Recognition benefit CDA 1 View – Total MIS Solution Visiting Cards, Id cards, Conventions and Seminars & Advance Training Etc etc


Compensation – Cash Benefits Variable Fees

CDA would be paid a Variable Fees on the commission earned by the agents under them, as under :

CDA Category

Base Commission to Advisor

Variable Fees paid on the Advisor Base Commission

Rookie 1 - 40% 20%Silver 1 - 40% 35%Silver 2 1 - 40% 45%Lite 1 - 40% 50%Gold 1 1 - 40% 54%Gold Plus 1 - 40% 57%Elite 1 - 40% 60%

Calculated and paid every month


Compensation – Cash Benefits Special Product Fees

For special products, an additional 10% variable fee on Advisor commission will be paid for direct business (business sourced by direct advisors)

Currently RSIP, RTSIP and all traditional products are considered as Special Products. New products will be added as and when launched. The variable fee is payable only on new business and not on renewal business.



Compensation – Cash Benefits Advisor Recruitment and Activisation Fees

It is important for every CDA to build a strong base of advisors, to enable, to expand the business and thereby earn more money for self, and the best part of being a CDA is you even get incentives’ for the same.

CDA will earn a fees of Rs 1500 for every advisor once the advisors gets activated* within the month of joining**.

* Activisation would be considered as 2 NOL with minimum premium of Rs 20,000 or WRP of Rs 50,000 subject to login within 30 days from the date of joining and issuance and realization within 45 days.

**Date of Joining of advisor will be considered from 1st day of the next month from the date of actual joining. (Submission of ARF)

Advisor Recruitment and Activisation fees is paid only once per advisor (either at the time of LG or AG)


Compensation – Cash Benefits Mobile and Conveyance Allowance

For continues growth and progress It is necessary to regular communicate with all our team members And keep making more and more calls, either through phone or personal visits We therefore pay you a allowance to the CDA’s to take care of such expenses

CDA Category

Mobile and Conveyance Allowance (per month) Criteria

Rookie NA

Silver 1 2000 Payable monthly if atleast Rs. 100,000 business is done

Silver 2 4000 Payable monthly if atleast Rs. 200,000 business is done

Lite 4000 Payable monthly if atleast Rs. 800,000 business is done

Gold 7000 Payable monthly if atleast Rs. 15,00,000 business is done

Gold Plus and Elite 10000 Payable monthly if atleast Rs. 25,00,000 business is doneCalculated and paid every month


Compensation – Cash Benefits Business Persistency Fees

It is necessary for us to continue providing services to our existing clients So as to maintain the relationships And seek opportunity of further sales It is also in our clients interest that they continue to pay the premiums

regularly We therefore extend you Business Persistency Fees for all the effort

undertaken to keep the services ongoing

3% of Renewal Commission is paid towards Business Persistency Fees to all our Lite and above level CDAs


Compensation – Cash Benefits Team Activisation Allowance

As more and more agents participate in the business every month., more and more income, can be earned

For all those CDA’s who show keen interest to improve the number of active advisors(direct) month –on – month, also get incentivised for the same !!!

This allowance is paid once every quarter, along with the CDA payouts. (Quarter ending as June, Sept, Dec and March)

Calculated and paid every Qurater

Advisor (AG + LG) Activisation (Per Quarter) Amount0-3 Nil

4 to 5 25006 to 9 5000

10 to 14 1000015 and above 15000


Compensation – Cash Benefits Client Acquisition Allowance

Sourcing more clients is more important for building a strong base Base upon which we can trust our earnings We therefore motivate you to build your base of clients more bigger and more

stronger, through the allowance paid towards Client Acquisition This allowance will be paid to CDA’s whose team of direct advisors (LG + AG)

has achieved the slabs with respect to Number of Policies sourced. This allowance is paid once every quarter, along with the CDA payouts. (Quarter ending as June, Sept, Dec and March)

Calculated and paid every Quarter

NOP per Quarter (through Direct team of AG + LG Advisors) Amount0-14 Nil

15 to 25 250026 to 35 500036 to 50 10000

51 and above 15000


Compensation – Cash Benefits Office Set up and Maintenance Allowance

The opportunity allows a CDA not only to earn unlimited incentives but also allows them to establish their own Branch Offices

The established Branch Office will allow the CDA to emerge as a true entrepreneur

The Branch Office Set up will help the CDA to garner trust and thereby grow the business and also simultaneously earn more !!!

CDAs would be allowed to set up a branch of his own based on certain parameters, with an intention to provide basic service and amenities to his set of CDAs and Advisors.

The entire set up will be owned and managed by the CDA himself and will be like his own office.


Compensation – Cash Benefits Office Set up and Maintenance Allowance Company will pay a monthly allowance towards maintenance of the branch

set up to the CDAs, provided he continues to achieve the following norms.

Level Min CDA Recruitment per month Office Set & Maintenance Allowance per monthDirect CDA Indirect CDA

Lite 3 10 15,000Gold and Gold Plus 4 15 20,000Elite 5 20 25,000

1. CDA Recruitment means a CDA who logs atleast 1 ARF with Min Rs 20,000 WRP or 2 ARFs with Min Rs 10,000 WRP Each within the month of joining*.

2. Month of joining would start from 1st Day on the next month of actual joining.



The Branch office Set Up Branch to improve service standards, impart training activities. RM/ZM to certify the existence and nature & exclusivity of the branch set up. The Branch has to be min 400 sq ft, with proper and basic infrastructure of an

office environment. Separate place for conducting training and unit meeting should be provided. All expenses incurred on setting up of the branch office shall be borne by CDA

himself. Any other expense for maintaining and carrying out the activities at the branch

office shall be borne by CDA himself. CDA will have to conduct Unit Meeting of his team of CDAs and Advisors every

month If the CDA fails to produce the Minimum Recruitment Norm for any month, then

the allowance for that month will not be paid.


Compensation – Cash Benefits Customer Care Transaction Fees***

For all CDAs(Lite and above) providing Office Set up, will also be paid Customer Care Transaction Fees As an allowance for all the expenses that would be incurred towards the

transactions carried out at his branch

The Customer Transaction Fees would be

0.5% of the total premium logged from his branch, subject to issuance and realization of the same.

***Important Note :

1. Customer Care Transaction Fees to be payable only for certain approved office set up and not for all the offices as and when CDAs would set up.

2. Prior consent and approval of Channel Head would be required for allowance and processing of Customer Care Transaction Fees to CDAs.


Cash Benefits - The Club Lounge The Club Lounge

Every CDA will also be enrolled and entitled for rewards under the Club Lounge, a Unique Loyalty Program.

1 point per Rs 10000 direct business and 1 point per Rs 20000 indirect business will be allotted to CDAs at all levels.

They would be allowed to reimburse their accumulated points from the Rewards Gallery that would be announced by the Company from time to time.

Reward Gallery would feature various office equipments so as to help the CDA establish his office set up from the points earned.

The reward gallery will include items like :Car - Motorbikes - Laptop - DesktopPrinter - Office Table -Office Chair - Office CabinetTelephone - And other such office stationery

Benefits of the club lounge would be extended to CDAs irrespective whether they provide with office set up or not.


Compensation – Cash Benefits Early Bird High Flyer

It is necessary to dream big, and also to make others to dream big. Money is the best motivator for any person, therefore a CDA can be motivated

enabling him to earn more Which also will bring a momentum and speed in the sales performance. EBHF is an incentive which focuses on increased level of activity right from

day of joining. It is a one time fee paid, for making a relationship grow stronger and faster. It is paid to the Parent CDA for motivating his direct CDA to rise to the higher

levels within the month of joining!!!


EBHF Premium within month of Joining AmountRookie to SL 1 500,000 5000

*Month of joining will begin from the 1st day of next month of the date of actual joining of a CDA.


Compensation – Support Benefits Support Benefits

Every CDA will be benefited from the highly competitive team of our TM/CDA Managers

CDAs will be imparted with trainings on various products and sales skill through a team of highly qualified Training Managers/Master Trainers

Advisors recruited under CDAs will also be entitled for the benefit of TM and Training for passing the exam, activisation and/or sales skills

Entire Back Office support of MIS shall be provided to all the CDAs through a unique and personal portal – CDA 1 View

Other Support like issuance of Identity Cards, Visiting Cards etc shall be extended

Subscription to various e-zines will be provided for current updates Specially designed Sales Tools for enhancing the sales will be given from time

to time


Compensation – Recognition Benefits Apart from the Cash and Support benefits, CDAs shall also be provided with

various Recognition Benefits Invitation to the Zonal or National Convention Sponsorship to various Seminars and advanced Training programs Group Life Cover Monthly Trophies and Certificate of Appreciation


Compensation – Support & Recognition Matrix

Benefit Rookie Silver & Silver 2

Lite Gold /Gold

Plus Elite

CDA Annual Convention –National or Zonal

No Yes Yes Yes Yes

Visiting cards No Yes (100 nos) Yes (100 nos) Yes (100 nos)Yes (200

nos)

ID Cards No Yes Yes Yes Yes

Specially designed sales tools

No Yes Yes Yes Yes

Group Life Cover No Rs.1 lakhs Rs.3 lakhs Rs.5 lakhs Rs.10 lakhs

Sponsorship to Insurance Seminars and Trainings

No No Yes Yes Yes

Access to CDA One view Yes Yes Yes Yes Yes


Documents

Channel Development Associate – Our face, Our Pridekaserparmodbansal.yolasite.com/resources/CDA[1].pdfA Reliance Capital company CDA – The Associate A potential Channel Development