customer perception about national insurance corporation

8/7/2019 customer perception about national insurance corporation

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INTRODUCTION


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INTRODUCTION

CUSTOMER PERCEPTION

Customer perceptions are dynamic. First of all, with the developing relationship between

customer and company, his perceptions of the company and its products or services will

change. The more experience the customer accumulates, the more his perceptions will shift

from fact-based judgments to a more general meaning the whole relationship gains for

him.

Over time, he puts a stronger focus on the consequence of the product or service

consumption. Moreover, if the customers circumstances change, their needs and

preferences often change too. In the external environment, the offerings of competitors,

with which a customer compares a product or service will change, thus altering his

perception of the best offer around. Another point is that the public opinion towards certain

issues can change. This effect can reach from fashion trends to the public expectation of

good corporate citizenship.

Shells intention to dump its Brent Spar platform into the ocean significantly altered many

customers perception of which company was worth buying fuel from. Research has been

donning on the impact of market share on the perceived quality of a product Depending on

the nature of the product and the customers preferences, increasing market share can have

positive or negative effects on how the customer perceives the product.

In these days customer perception is very important .When compared to customer

perception of the insurance company to other insurance company. The customer

perception is showing the problems of company. One company to other company will be

show the difference of the customer services like high quality, low price, offering door

delivery service and sometimes company offering free demo class regarding some

electronic products.

Thats why many people are attracted to private organization. Customer perception is an

important component of our relationship with our customers.


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INDUSTRY

PROFILE


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INDUSTRYPROFILE

Brief History of the Insurance Sector in India

Insurance sector in India is one of the booming sectors of the economy and is growing atthe rate of 15-20 per cent annum. Together with banking services, it contributes to about 7

per cent to the country's GDP. Insurance is a federal subject in India and Insurance

industry in India is governed by Insurance Act, 1938, the Life Insurance Corporation Act,

1956 and General Insurance Business (Nationalization) Act, 1972, Insurance Regulatory

and Development Authority (IRDA) Act, 1999 and other related Acts.

The origin of insurance in India can be traced back to 1818 with the establishment of the

Oriental Life Insurance Company in Calcutta. It was conceived as a means to provide for

English Widows.

In those days a higher premium was charged for Indian lives than the non- Indian lives as

Indian lives were considered riskier for coverage.

The Bombay Mutual Life Insurance Society that started its business in 1870 was the first

company to charge same premium for both Indian and non-Indian lives.

In 1912, insurance regulation formally began with the passing of Life Insurance

Companies Act and the Provident Fund Act.

By 1938, there were 176 insurance companies in India. But a number of frauds during

1920s and 1930s tainted the image of insurance industry in India. In 1938, the first

comprehensive legislation regarding insurance was introduced with the passing of

Insurance Act of 1938 that provided strict State Control over insurance business.

Insurance sector in India grew at a faster pace after independence. In 1956, Government of

India brought together 245 Indian and foreign insurers and provident societies under one

nationalized monopoly corporation and formed Life Insurance Corporation (LIC) by an

Act of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs.5 crores.

The (non-life) insurance business/general insurance remained with the private sector

till1972. There were 107 private companies involved in the business of general operations

and their operations were restricted to organized trade and industry in large cities.


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The General Insurance Business (Nationalization) Act, 1972 nationalized the general

insurance business in India with effect from January 1, 1973. The 107 private insurance

companies were amalgamated and grouped into four companies: National Insurance

Company, New India Assurance Company, Oriental Insurance Company and United India

Insurance Company.

These were subsidiaries of the General Insurance Company (GIC).

In 1993, the first step towards insurance sector reforms was initiated with the formation of

Malhotra Committee, headed by former Finance Secretary and RBI Governor R.N.

Malhotra.

The committee was formed to evaluate the Indian insurance industry and recommend its

future direction with the objective of complementing the reforms initiated in the financial

sector.

Key Recommendations of Malhotra Committee

Structure

y Government stake in the insurance Companies to be brought down to 50%.y Government should take over the holdings of GIC and its subsidiaries so that

these subsidiaries can act as independent corporations.

y All the insurance companies should be given greater freedom to operate.

Competition

y Private Companies with a minimum paid up capital of Rs.1billion should beallowed to enter the industry.

y No Company should deal in both Life and General Insurance through a singleEntity.

y Foreign companies may be allowed to enter the industry in collaboration with thedomestic companies.

y Postal Life Insurance should be allowed to operate in the rural market.y Only one State Level Life Insurance Company should be allowed to operate in each

state.


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Some of the important milestones in the life insurance business in India are:

1850 Non life insurance debuts with triton insurance company

1870 Bombay mutual life assurance society is the first Indian owned Life insurer

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.

Some of the important milestones in the general insurance business in India are:

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.

1907 - The Indian Mercantile Insurance Ltd. set up, the first company to transact all

classes of general insurance business.

1957 - General Insurance Council, a wing of the Insurance Association of India, frames a

code of conduct for ensuring fair conduct and sound business practices.

1968 - The Insurance Act amended to regulate investments and set minimum solvency

margins and the Tariff Advisory Committee set up.

1972 - The General Insurance Business (Nationalization) Act, 1972 nationalized the

general insurance business in India with effect from 1st Jan.

1973- Insurers amalgamated and grouped into four companys viz. the National Insurance

Company Ltd., the New India Assurance Company Ltd., the Oriental Insurance Company

Ltd. and the United India Insurance Company Ltd. GIC incorporated as a company.


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About General Insurance

Our life is fraught with many risks, some known and some not so known. Most of the risks

lead us to financial losses. By availing insurance products and services we not only prepare

ourselves to fight off financial losses but also alleviate tension and stress. It can be said

that Insurance is instrumental in reducing risk factors. We pay premiums to an insurance

company and in return they assume responsibility to compensate for our monetary loss.

There are two broad categories of insurance policies including human life insurance and

general or non-life insurance. General Insurance provides us with coverage against

property damages, thefts, accidents, illness and such others.

Types of General Insurance

Most of the General Insurance Companies provide a wide range of insurance products and

services. Some of these can be classified as follows:

y Car Insurancey Home Insurancey Travel Insurancey Private Medical Insurancey Illness Insurancey Long-term care Insurancey Accident Insurance

Key Factors for General Insurance

While buying a particular general insurance, you need to analyze certain angles to make

sure that it would cater to your requirements to its fullest capacity. These angles or key

factors are:

y A suitable product or service that matches your particular needy Cost of the insurance producty Flexibility of the product or servicesy Terms and policies of the product

You need to know well what will happen if you fail to make a payment or want to drop the

service or switch it with any other. You must also be aware about the terms and policies of


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the insurance to know when you can expect a pay-out or does it have any restriction.

Benefits of General Insurance

On availing general insurance, you can fight off financial losses against your assets and

belongings. You can insure your as well as your family member's health by opting for

personal accident policies or medical insurance. These policies prove hugely beneficial in

case of sudden occurrence of any accidents.

General Insurance Companies in India

Triton Insurance Company of Calcutta was the first general insurance company in India to

establish its shop here. After this, many other companies forayed into the insurance sector

of India and came up with innovative general insurance or non-life insurance policies tohelp customers reduce financial losses.

Some of the most trusted non-life insurance companies in India are:

y Birla Sun Life Insurance Companyy National Insurance Corporationy Om Kotak Mahindra Life Insurance Companyy ING Vysya Life Insurance Co. Ltdy Max Life Insurance Co. Ltdy HDFC Standard Life Insurancey Metlife Insurancey Sahara India Life Insurancey Cholamandalam MS General Insurancey ICICI Lombardy Tata AIG Insurancey SBI Life Insurance


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COMPANY

PROFILE

.


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Company Profile

National Insurance Company Limited (NIC)

National Insurance Company Limited was incorporated in 1906 with its registered office

in Kolkata. Consequent to passing of the General Insurance Business Nationalisation Act

in 1972, 21 Foreign and 11 Indian Companies were amalgamated with it and NIC became

a subsidiary of General Insurance Corporation of India (GIC) which is fully owned by the

Government of India. After the notification of the General Insurance Business

(Nationalisation) Amendment Act, on 7th August 2002, NIC has been de-linked from its

holding company GIC and presently operating as a Government of India undertaking.

National Insurance Company Ltd (NIC) is one of the leading public sector insurance

companies of India, carrying out non life insurance business. Headquartered in Kolkata,

NICs network of about 1000 offices, manned by more than 16,000 skilled personnel, is

spread over the length and breadth of the country covering remote rural areas, townships

and metropolitan cities. NICs foreign operations are carried out from its branch offices in

Nepal.

Befittingly, the product ranges, of more than 200 policies offered by NIC cater to the

diverse insurance requirements of its 14 million policyholders. Innovative and customized

policies ensure that even specialized insurance requirements are fully taken care of.

The paid-up share capital of the company is Rs.100 crores. Starting off with a premium

base of 500 million rupees (50 crores rupees) in 1974, NICs gross direct premium income

has steadily grown to 4021.97 million rupees (4021.97 crores rupees ) in the financial year

2007-2008.

NIC transacts general insurance business of Fire, Marine and Miscellaneous insurance.

The Company offers protection against a wide range of risks to its customers. The

Company is privileged to cater its services to almost every sector or industry in the Indian

Economy viz.

Banking, Telecom, Aviation, Shipping, Information Technology, Power, Oil & Energy,


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Agronomy, Plantations, Foreign Trade, Healthcare, Tea, Automobile, Education,

Environment, Space Research etc.

National Insurance, as on May 2009, is the second largest non life insurer in India having a

large market presence in Northern and Eastern India.

The steady growth in premium income has been commensurately matched by profits over

the years. As of March 2008, NICs general reserve stood at 1457.25 million rupees

(1457.25 crores rupees) with an asset value of 8867.99 million rupees (8867.99 crores

rupees) signaling strong financial fundamentals. No wonder than that NIC has been

accorded AAA/STABLE financial strength rating by CRISIL rating agency, which

reflects the highest financial strength to meet policyholders obligations.

Products & Services:

NIC offers a wide range of products, catering to almost every sector of the society

Personal

y Motor Policy Two Wheelersy Householders Policyy Personal Accident Policyy Critical Illness Policyy NRI Accident Policyy Amartya Siksha Yojana Policyy Rajrajeshwari Mahila Kalyan Yojana Policyy Bhagyashree Child Welfare Policyy Traffic Accident Policyy Niwas Yojana Policyy Baggage Policyy Mediclaim Policyy Motor Policy Private Cary Professional Indemnity for Doctorsy Star National Swasthya Bima Policyy PARIVAR Mediclaim for Familyy VIDYARTHI-Mediclaim for Studentsy UCO Medi + Care Bima Policyy VARISTHA Mediclaim for Senior Citizens


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y BOI National Swasthya Bimay Overseas Mediclaimy Baroda Health Policy

Rural

y Cattle / Livestock Insurancey Sheep and Goat Insurancey Elephant Insurancey Dog Insurancey Brackish Water Prawn Insurancey Silkworm ( Sericulture) Insurancey Janata Personal Accident Insurancey Horticulture/Plantation Insurancey Kisan Agriculture Pumpset Insurance

Industrial

y Erection All Risks Insurance ( EAR )y Contractors All Risks Insurance (CAR)y Machinery Insurance ( MI )y Electronic Equipment Insurance ( EEI)y Consequential Loss (Fire) Policyy Standard Fire and Special Perils Policyy Workmen Compensation Insurancey Product Liability Insurancey Public Liability Insurance

Commercial

y Burglary (Business Premises) Policyy Shopkeepers Policyy Bankers Indemnity Policyy Office Package Policyy Glass Insurancey Money Insurancey Jewellers Block Policyy Extended Warranty Policyy Directors and Officers Liability Policy


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y Fidelity Guarantee Policyy Marine Cargo Insurance

Head Office:

National Insurance Company Limited,

3 Middleton Street

Kolkata 700071

India.

Tel: +91-33-22831705/22831706

Fax: +91-33-22831740

List of branch offices

http://www.nationalinsuranceindia.com/

Achievements of National Insurance Corporation

y The fastest growing Non-life Insurance Company in Indiay The second largest Non-life Insurance Company in Indiay Internationally recognized as one of the top 5 General Insurance Companies in the

Asia Pacific.

CUSTOMER SERVICE INITIATIVES

y Establishing Connectivity among 1000 offices within the countryy Facility to get Policy through NET soony Tie-ups with leading Banks, Corporate Sectors, State Governmentsy Conciliatory Fora for facilitating quick settlement of Motor Third Party claims,

Compromise settlement, Lok Adalat and Jald Rahat Yojana.

y Zonal Advisory Committees set up to maintain progress.y May I help you counters set up at Head Office and all Regional Offices.y Citizens Charter Commitments being implemented by all offices.

PRODUCT DEVELOPMENT

y More than 200 products available to cater to the needs of various sectors of theeconomy.

y Continuous product development to meet emerging needs of society and industry.


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y R&D cell set up at Head Office for distinctive product innovation relevant toindigenous conditions and rural masses.

y New covers launched: PARIVAR Mediclaim for Family, VIDYARTHI-Mediclaim for Students, UCO Medi + Care Bima Policy, Star National Swasthya

Bima Policy, VARISTHA Mediclaim for Senior Citizens.

MARKETING (INTERMEDIARIES) DEPARTMENT

y As a major strategic initiative, National Insurance Company has tied up withcommercial banks, Non Banking Financial Institutions, Automobile Manufacturers,

NGOs and State Governments for marketing of its Insurance services.

y Marketing (I) Department as been established at Head Office to provide therequired thrust and direction to the business. Strategic Alliances Departments have

been created at the Regional and Operating levels to exclusively cater to the Tie-

Ups. The RO strategic Alliances coordinator has the overall responsibility of

servicing the tie-ups in the Region. The total business from all alliances is budgeted

to grow at the rate of 36% to Rs.1070 core in 2006-07 and concerted efforts are

being made in this direction.

y National Insurance Company Limited ranks among the top GLOBAL BUSINESSINSURERS.

y NIC has been awarded the AAA/STABLE financial strength rating byCRISIL. It reflects the highest financial strength to meet policyholders

obligations.


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RESEARCH

METHODOLOGY


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RESEARCH METHODOLOGY

INTRODUCTION

This chapter aims to understand the research methodology establishing a framework ofevaluation and revaluation of primary and secondary research. The techniques and

concepts used during primary research in order to arrive at findings; which are also dealt

with and lead to a logical deduction towards the analysis and results.

WHAT IS A RESEARCH

Research can be defined as a scientific and systematic search for pertinent information on

a specific topic. In fact, research is an art of scientific investigation. The Advanced

Learners Dictionary of Current English lays down the meaning of research as a carefulinvestigation or inquiry specially through search for new facts in any branch of

knowledge. Redman and Mory define research as a systematized effort to gain new

knowledge.

Research is an academic activity and as such the term should be used in a technical sense.

According to Clifford Woody, research comprises defining and redefining problems,

formulating hypothesis or suggested solutions; collecting, organising and evaluating data;

making deductions and reaching conclusions; and at last carefully testing the conclusions

to determine whether they fit the formulating hypothesis. Research is, thus, an original

contribution to the existing stock of knowledge making for its advancement. It is the

pursuit of truth with the help of study, observation, comparison and experiment. In short,

the search for knowledge through objective and systematic method of finding solution to a

problem is research.

OBJECTIVES OF RESEARCH

The purpose of research is to discover answers to questions through the application of

scientific procedures. The main aim of research is to find out the truth which is hidden and

which has not been discovered as yet. Though each research study has its own specific

purpose, we may think of research objectives as falling into a number of following broad

groupings:


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1. To gain familiarity with a phenomenon or to achieve new insights into it (studieswith this object in view are termed as exploratory or formulative research studies);

2. To portray accurately the characteristics of a particular individual, situation or agroup (studies with this object in view are known as descriptive research studies);

3. To determine the frequency with which something occurs or with which it isassociated with something else (studies with this object in view are known as

diagnostic research studies);

4. To test a hypothesis of a causal relationship between variables (such studies areknown as hypothesis-testing research studies).

SIGNIFICANCE OF RESEARCH

All progress is born of inquiry. Doubt is often better than overconfidence, for it leads to

inquiry, and inquiry leads to invention is a famous Hudson Maxim in context of which

the significance of research can well be understood. Increased amounts of research make

progress possible. Research inculcates scientific and inductive thinking and it promotes the

development of logical habits of thinking and organisation.

The research has its role in several fields of applied economics, whether related to business

or to the economy as a whole. It has its special significance in solving various operational

and planning problems of business and industry. Operations research and market research,

along with motivational research, are considered crucial and their results assist, in more

than one way, in taking business decisions.

Research is equally important for social scientists in studying social relationships and in

seeking answers to various social problems. It helps to develop a body of principles that

make possible the understanding and prediction of the whole range of human interactions.

Because of this social orientation, it is increasingly being looked to for practical guidance

in solving immediate problems of human relations.

Thus, research is the fountain of knowledge for the sake of knowledge and an important

source of providing guidelines for solving different business, governmental and social

problems. It is a sort of formal training which enables one to understand the new

developments in ones field in a better way.


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OBJECTIVE OF STUDY

The study has been conducted with a defined set of objectives for the accomplishment of

the summer training project. These objectives are:

Primary objective

Research Objectives:-

y To find the Customer Perception on the Policies of National InsuranceCorporation

y To find out the customers reason towards investment in General insurancepolicies.

Secondary objectives

y To study the working of Insurance Industry in India and the financial advisors inthe Insurance Industry.

y To identify major attributes which effects the decision making process of purchaseof general insurance policies.

y To identify major market players offering general insurance policies.

RESEARCH METHODOLOGY

Research methodology is a careful investigation for inquiring in a systematic method and

finding solution of a problem. It comprises the defining and redefining of problemformulating hypothesis, collection and evaluating data, making detection and reaching

conclusion. This research consists of following element.

RESEARCH DESIGN

A research design is a framework or blueprint for conducting the marketing research

project. It details the procedure necessary for obtaining the required information, and its

purpose is to design a study that will test the hypotheses of interest, determine possible

answers to the research questions, and provide the information needed for decision

making. The research design is of three types, namely: Exploratory Research

(Quantitative), Descriptive Research and Causal Research (Qualitative).

The project focuses on Exploratory and Descriptive Research to conduct the evaluation of

the Customer perception towards the organisation.


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SOURCES OF DATA

The data used to conduct this research has been collected both from primary as well as

secondary sources. The data from primary sources is known primary data and from

secondary sources is known as secondary data.

PRIMARY DATA

Primary data are those, which are collected for the first time. Primary data is collected by

framing questionnaires. The questionnaire contained questions, which are both open ended

and closed-ended. Open-ended questions are questions requiring answers in the

responders own words. Closed-ended questions are those wherein the respondent has to

merely check the appropriate answer from a list of options available. Any doubts raised by

the respondents were clarified to get the perfect answers from the distributors. Open ended

questions yielded more insightful information, whereas closed-Ended questions were

relatively simple to tabulate and analyze.

SECONDARY DATA

Information compiled inside or outside the organization for some purpose other than the

current investigation researching information, which has already been published is known

as secondary data. Sources to secondary data include census reports, trade publications,

and subscription services. There are two types of secondary data: internal and external

secondary data.

SAMPLE DESIGN

The process of drawing a sample from a large population is called sampling. Population

refers to the total of items about which information is defined. Well-selected samples may

reflect fairly and accurately the characteristics of the population.

Sampling Unit:

The sample unit of this survey was the customers of NIC.co.ltd (Moti Nagar)

Sample Size:

The study targeted randomly the 40 customers of the organisation.

Sampling Technique Adopted:

Convenience sampling


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DATA COLLECTION

Data collection took place with the help of filling of questionnaires. The questionnaire

method has come to the more widely used and economical means of data collection. The

common factor in all varieties of the questionnaire method is this reliance on verbal

responses to questions, written or oral. Moreover, a questionnaire personally administers

the respondent.

The first hand information was collected by making the people fill the questionnaires. The

primary data was collected by directly interacting with the employees of the organisation.

The data was collected by randomly interacting with 100 employees who filled in the

questionnaires and provided the required information.

There are two types of data collection method use in my project work report.

-Primary data

-Secondary data.

For my project, I decided on primary data collection method for observing customer

perception towards insurance and approaching customers directly in the field, comparing

and references to know their preference on insurance policies for my project through

questionnaire.

I decided on secondary data collection method was used by referring to various websites,

books, magazines, journals and daily newspapers for collection information regarding

project under study

In my project, I decided primary data collection method because my study nature does

not permit to apply observational method. In survey approach .I selected a questionnaire

method for taking a customer view because it is feasible from the point of view of my

subject & survey purpose. I conducted 40sample of survey in my project.


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DATA

ANALYSIS


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DATAANALYSIS AND RESULTS

y Number of general insurance policies customer holds:

Option Number of respondent Percentage

0-1 20 50%

2-3 10 25%

4-5 7 17.5%

5 and above 3 7.5%

Interpretation:-

Figure 1 show that among 40 respondents, 50% are having 0-1 policies, 25% are having 2-

3 policies, 17.5% are having 4-5 policies and 7.5% are having 5 or more policies. So,major respondents are 0-1 policy holder.

20

10

7

3

0

5

10

15

20

25

1 t

2 2 t

3 4 t

5 5 a

d ab

ve

Fig.1


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y Rationale behind holding the general insurance policies:-


Tax saving instrument 12 30%

As a necessity for safety

and security goods.

10 25%

Both of above 15 37.5%

As a safety for loan 3 7.5%

Interpretation:-

Figure 2 shows that among 40 respondents, 12 i.e. (30%) consider insurance as tax

Saving, as a necessity for safety and security goods, 10 i.e. (25%) consider it as for safety

for a loan and 15 i.e. (37.5%) consider both the above option and 3 i.e. (7.5%) consider it

as a safety for loan safety and security. So, most of the respondents consider it both as tax

saving instrument and as necessity of for safety and security of goods as rationale behind

holding a life insurance policy.

30%

25%

37%

8%

Fig.2

Tax savi

g I

str

e

t

As a

ecessity for safety a

sec

rity goo

s

Both of a ove

As a safety for loa


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y Type of general insurance policies preferred by customers:-


Personal line insurance 15 37.5%

Rural insurance 12 30%

Industrial risk 5 12.5%

Commercial risk 8 20%

Interpretation:-

Figure 3 shows that among 40 respondents most preferred general insurance policy is

Personal line insurance.

15

12

5

8

0

2

4

6

8

10

12

14

16

Pers

al li

e i

s

ra

ce R

ral i

s

ra

ce i

d

strial risk

ercial risk

Fig.3


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y According to customer, what should be the moderate return from the investmentin the general insurance policies?

Option Number of respondents Percentage

Less than 5% 7 17.5%

5-8% 22 55%

8-11% 9 22.5%

11% and above 2 5%

Interpretation:-

Figure 4 shows that among 40 respondents, 5% preferred a return of 11% and above,

22.5% liked to have a return of 8-11% while 55% and 17.5% respondents preferred it to be

5-8% and less than 5% respectively. So, most preferred return from the investment in the

general insurance policies is 5-8%.

17%

55%

23%

5%

Fig.4

Less than 5%

5-8%

8-11%

115 an

a

ove


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y In which income group customer belongs?


20-30 4 10%

30-40 21 52.5%

40-50 10 25

50&above 5 12.5%

Interpretation:-

Figure 5, shows that among 40 respondents, 52.5% respondents are of the age group 30-40

years while 25% and 12.5% of respondents are of age group 40-50 and 50-60 years

respectively and only 10% belong to age group 20-30 years. So, maximum number of

respondents belongs to age group 30-40 years.

4

21

10

5

0

5

10

15

20

25

20-30 30-40 40-50 50 an

a

ove

Fig.5


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y In which income group customer belongs?


Less than 2lacs 6 15%

2-5lacs 25 62.5%

5-8lacs 7 17.5%

8lacs&above 2 5%

Interpretation:-

Figure 6 shows that among 40 respondents, 62.52% belong to income group of 5-8 lacs

while 17.5% and 15% respondents are from income group 3-5 lacs and less than 3 lacs

resp. and only 5% respondents belong to income group 8 lacs and above. So, maximum

no. of respondents belongs to income group of 5-8 lacs

6

25

7

20

5

10

15

20

25

30

Less t

a

2 lacs 2-5 lacs 5-8 lacs 8 lacs a

d ab

ve

Fig.6


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y Type of general insurance policy customer prefers is recommended by.


Family 10 25%

Friends 15 38%

Advisor 6 15%

Others 9 22%

Interpretation:-

Figure -8 shows that among 40 respondents 25% respondents have taken life insurance

policies by the recommendation of family, 38% have taken by the recommendation of

friends, 15% & 22% by the recommendation of advisor &others, so maximum no. of

general insurance policies is recommended by friends.

10

15

6

9

0

2

4

6

8

10

12

14

16

Family Frien#

s A#

visor others

Fig.8


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y The customer has taken the general insurance policy through :

Option Numbers of respondents Percentage

Agent 20 50%

Online 9 23%

Self 5 12.5%

Others 6 14.5%

Interpretation:-

Figure-9 shows that among 40 respondents, 50% respondents have taken life insurance

policies through agent, 23 % have taken through online, 12.5% & 14.5% have taken

through self & other means. So, maximum no. of respondents have taken through agent.

Fig.9

Age$

t

Oli$

e

Self

Ot%

ers


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y Are you satisfied with the services of the National Insurance Co.Ltd?


Yes, its very good 4 10%

Ok, its just another

govt.co

16 40%

No, its not good, but ok 19 47.5%

Not at all, its very poor 1 2.5%

Interpretation:-

A figure-10 show that among 40 respondents, 47.5% respondents thinks that its ok, but

not good, 40% thinks that its just another govt.co and 10% & 2.5% thinks that yes, its

good and very poor respectively. So maximum number of respondents thinks that the

services of NIC are not so good.

4

16

19

10

2

4

6

8

10

12

14

16

18

20

Yes,its very goo&

Ok, its just another

govt.corporation

no,its notgoo&

,'

ut ok Not at all, its very ppor

Fig.10


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y Are you satisfied with the attitude and working of employees of the NationalInsurance Co.Ltd?

Option Number of respondents percentage

Yes 12 30%

No 20 50

Not at all 5 12.5%

Very poor 3 7.5%

Interpretation:-

A figure-11 show that among 40 respondents, 50% respondents are not satisfied with

attitude and working of employees of the NIC, but 30% says that they are satisfied and

12% & 8.5% thinks not at all and very poor respectively.

So maximum number of respondents are not satisfied with the attitude and working of the

employees of the NIC.

30%

50%

12%

8%

Fig. 11

Yes

No

Not at all

Very(

oor


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INTERPRETATION

OF FINDINGS


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INTERPRETATION OF FINDINGS

y The buying of general insurance policies is dependent on income.y There is no impact of age on the rationale behind holding life insurance policy.y Personal line insurance policy is preferred the most.y Among 40 respondents maximum no. of policy holders are having sum total of

amount of insurance policy premium as 50,000-1 lac.

y Among 40 respondents maximum no. of respondents belongs to income group of5-8 lacs.

y Most of the general insurance policies is recommended by the family ofrespondents.

y Among 40 respondents maximum number of respondents belongs to age group 30-40 years.

y Among 40 respondents most of the respondents consider insurance both as taxsaving instrument and as necessity of life for safety and security as rationale behind

holding a insurance policy.

y Among 40 respondents most preferred return from the investment in the generalinsurance policies is 8-5% and above.

y Most of the respondents have taken life insurance policies through agents.


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RECOMMENDATIONS

y General insurance companies should be more reliable and stable towards theirinvestors by providing better facilities.

y General insurance companies should give emphasis on their after-sale-service.y The promotional activities of insurance companies should be good.y General insurance companies should provide the necessary information and the

importance of general insurance to the customers.

y They should adopt better marketing techniques to increase awareness among thecustomers.


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LIMITATIONS

And

CONCLUSIONS


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LIMITATIONS

Some of the difficulties and limitations faced by me during my research work, which are

as follows:

y Lack of awareness among the peopley Lack of awareness about the earning opportunity in the Insurance sectory The sample size chosen for the questionnaire was only 40 and that may not

represent the true picture of the consumer perception about the General Insurance

sector.

y Many people do not agree to fill the questionnaire because of lack of time


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CONCLUSIONS

I have come to know about the customer perception about the insurance sector and how it

varies with their age group and income.

y The buying of general insurance policies is dependent on income.y There is no impact of age on the rationale behind holding general insurance policy.y Personal line insurance policy is preferred the most.y All the insurance company must advertise more in the market because not all

people know more about general insurance policy.

y Most number of people wants guaranteed returns so company must focus on thisfor the customer investment.

y People should not be afraid to invest money in insurance and must use it as aneffective tool for tax planning and long term.


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BIBLIOGRAPHY


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BIBLIOGRAPHY

TEXT BOOKS

1. PHILIP KOTLER (2001) Marketing Management, Prentice Hall Pvt. Ltd., NewDelhi, Millennium edition.

2. KOTHARI C.R. (1999) Research Methodology, Wishwa Prakashan, New Delhi,2nd edition.

3. LEON G. SCHFFMAN and LESLIE LAZAR KANUK (2007) ConsumerBehaviour, Prentice Hall Pvt. Ltd., New Delhi, 9th edition.

WEBSITES

y http://www.google.co.in/#hl=en&biw=1345&bih=561&q=company+profile+of+national+insurance+corporation+of+india&aq=f&aqi=&aql=&oq=&gs_rfai=&fp=c0

5e196b84880929

y http://www.nationalinsuranceindia.com/nicWeb/nic/achievements.jspy http://www.google.co.in/#q=company+providing+general+insurance+in+india&hl

=en&biw=1345&bih=561&sa=2&fp=c05e196b84880929

y http://business.mapsofindia.com/insurance/general-insurance-india.html


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ANNEXURE


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APPENDICES

Questionnaire

Dear respondents,

I am a student of MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT

STUDIES. As a part of my curriculum I am conducting a study on The Customer

Perception about the Policies NIC co. ltd. It would be a great help if you please spare

some of your time to fill this questionnaire. The responses would be kept strictly

confidential & use to data analysis.

Please tick the appropriate option.

Q .1 Your age -

y20-30

y 30-40y 40-50y 50&above

Q .2 Your annual income

y >2lacsy 2-5lacsy 5-8lacsy 8&above

Q .3 Number of General insurance policies you hold?

y 0-1y 2-3y 4-5y 5& above

Q.4A

ccording to you, what is the rationale behind holding the General insurancepolicy? (Please tick one)

y As a tax instrument.y As a necessity for safety and security goods.y Both of the above.y As a safety for loan.


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Q .5 According to you, what should be the moderate return from the investment of

the General insurance policies?

y Less than 5%y 3-5%y 8-11%y 11%&above

Q .6 which type of general insurance policies does you prefers?

y Personal line insurancey Rural insurancey Industrial risky Commercial risk

Q .7 What is the sum total of all General insurance policies you hold?

y Less than 50,000y 50,000-1lacsy 1-1.5lacsy 1.5&above

Q .8 How have you taken your General insurance policies?

y Agenty Onliney Selfy Others

Q .9 The General insurance policies you have taken is recommended by:

y Familyy Friendsy Advisery Others


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Q.13 Are you satisfied with the attitude and working of employees of the National

Insurance Co.Ltd?

y Yesy Noy Not at ally Very poor

Thank you for your cooperation. Now please tell something about your self -

y Name - _______________________________________________

y Address - _______________________________________________

_______________________________________________

y Phone no. - _______________________________________________

y E-mail Id - _______________________________________________

Documents

customer perception about national insurance corporation