Presented by:SAMI-UL-LAH 71M.ALTAF 112 M. ZAHID 82

ACKNOWLEDGEMENT

First of all we would like to thank ALLAH Almighty Who gave us the courage, health, and energy to accomplish our research in due time and without Whose help this study which required untiring efforts would have not been possible to complete within the time limits. Our thanks are also due to our examiner Mam Ayesha whose valuable comments and suggestions made colossal contribution in improving our dissertation. Last but not least, we extend our thanks to Mr. Wasim Abidi(UNIT MANAGER OF EFU LIFE INSURANCE COMPANY IN BWP) for moral support and guidance for our topic. so that we may able to do our work within time limits.

Thanks

Efu life insurance

PRESENTATION TOPIC :

Brand name: Efu life insurance Product : life insurance

EFU INSURANCE COMPANY HISTORY OF EFU

In 1932, Mr. Ghulam Mohammad, a far sighted man, established Eastern Federal UnionInsurance Company (EFU) with financial assistance from the Aga Khan III and the Nawab ofBhopal. Mr. Abdur Rehman Siddiqui became the founder chairman. The company was originallyregistered at Calcutta and operated in India (undivided) and Burma.By 1961, EFU had become the flag bearer of Pakistan's insurance industry on the world stage and the largest life company in Afro-Asian countries (excluding Japan) under the leadership of Mr. Roshen Ali Bhimjee. It remained so until 1972 when Life Assurance business in Pakistan was nationalized.

EFU INSURANCE COMPANY TODAY

Today, EFU Life continues to be the largest private sector life insurance company in Pakistan. In 2007, EFU LIFE INSURANCE premium income was Rs. 4.8 billion. The Company enjoys a market share of over 64% of the private sector life premium income (excluding single premium).

EFU LIFE INSURANCE PROFIT IN 2010 WAS RS 34599000.

PROFIT FOR THE YEAR 2011 IN QUARTER REPORT(UNAUDITED) IS 151612000.

EARNING PER SHARE IN 2010 WAS RS 0.41. TODAY EPS IS INCREASED TO RS 1.78

UNIQUE SELLING POINT IN PAST

EFU Life is the first life insurance company in Pakistan to be awarded the ISO 9001:2000 certification.

EFU Life is managed by a team of professionals with extensive life insurance experience in the United Kingdom. This has helped the Company establish a professional culture unique amongst life insurance business in Pakistan.

EFU was chosen as the best Life Assurance Company by the Consumers Association of Pakistan; nominated as one of the “Top 25 Companies” by the Karachi Stock Exchange

USP TODAY

Market Leader in health insurance in Pakistan with over 35% of the market share .

Claims are paid within 7 days. Highest paid up capital so customer felt more

comfortable in getting insurance policy. Focusing on serving the humanity rather

than just doing a business.

ENVIRONMENTAL ANALYSIS

Macro analysis Political environment Social environment Technological environment Economical environment Micro analysis Competitor Customer Intermediator

POLITICAL ENVIRONMENT

Unfortunately for Pakistan, after the horrifying event of the assassination of Mohatarma Benazir Bhutto, the investment climate has deteriorated, loosing investors' confidence. The event of 27 December, 2007 and the political instability post March 2008, changed the business climate in Pakistan, and gave a major hit to Pakistan economy. Yet, the insurance market grew at a rate of 10%, mainly due to inflation factor.

SOCIAL ENVIRONMENT

Social Security will likely provide additional retirement benefits to retirees beginning, for most persons, after turning sixty.

Advance loans. Firstly, insurance, like banking, promotes savings to individuals. Secondly, insurance promotes investment. The insurance company can

easily invest its funds in industry, agriculture and commerce. Thirdly, the insured person can get loans against the security of insurance

policy from insurance company or from banks. Fourthly, insurance as we all know, protects against dangers to life and

property. If a person has got his life absence of sufficient financial funds to enable them to resume operations in the wake of a loss and without insurance, these projects would be reduced to nothing more than white elephants.

TECHNOLOGICAL ENVIRONMENT

Online bid price system Sms services. Free consultancy The Oracle Exadata Machine V2, made by

Sun and Oracle, will replace EFU's legacy system to run their new core insurance application on Oracle technology platform in order to respond better and faster to their business challenges.

ECONOMICAL ENVIRONMENT

Life insurance companies not only provide investment expertise to their policy holders but by pooling resources they help diversify investment risk. Life insurance companies can actually play a more important role in generating savings as compared to mutual funds. First, life insurance companies have large trained sales forces that have the ability to reach out to a large number of people. For example EFU Life’s sales force presently numbers more than 2,000 spread across the country through 81 branches. Secondly, in the absence of an effective direct debit mandate system in the country, the sales force of life insurance companies help in the collection of premiums – a very important element for disciplined savings. Thirdly, unlike other investment avenues, people tend to look at life insurance contracts as long term savings vehicles – life insurance policyholders are therefore serious savers rather than speculators.

COMPETITOR OF EFU

State life insurance company of Pakistan American life insurance co.pak.ltd Excel insurance company limited Habib insurance company limited IGI insurance limited National insurance company limited (state owned) New Hampshire insurance company limited(foreign

branch) New jubilee insurance company limited

Pakistan general insurance company limited Picic insurance limited

COMPETITOR OF EFU

Premier insurance limited Reliance insurance company limited Saudipak insurance company limited Security general insurance company limited Shaheen insurance company limited Silver Star insurance company limited Trakker direct insurance limited UBL insurance limited  United insurance company of Pakistan limited Universal insurance company limited Adamjee life Insurance Company limited Asia care health and life Insurance Company limited East west life Assurance Company limited

CUSTOMER OF EFU INSURANCE COMPANY INDIVIDUAL,MARRIED

PEOPLE,FAMILIES,JOB PERSONS.HERE WE CAN SAY THAT LIFE INSURANCE PRODUCT HAS A WIDE RANGE.BECAUSE THERE IS A RISK FACTOR INVOLVE IN THE LIFE OF A HUMEN BEING.

INTERMEDIARIES OF EFU

THE INTERMEDIARIES. INSURERS. REINSURERS. BROKERS. AGENTS. CONSULTANTS.

4p’s Analysis

PRODUCT

The company is principally engaged in providing general insurance products and services such as fire and property, marine, aviation and motor insurance. EFU also offers personal accident, workmen's compensation, traveler’s accident, burglary liability, fidelity, money, golfers, credit card and computer crime insurance and life insurance.

TYPE OF PRODUCT

Consumer product or business product Logic: It depends on situation if a customer

is defaulter in payment of installment, then he will delivers the policy agreement to other person It will act as business product.

If a person utilizes his or her policy by making installments properly and get the claimed amount at maturity date,it will consumer product.

TYPE OF CONSUMER PRODUCT

Efu life insurance is a unsought product.

Logic: life insurance is a product which a person mostly purchased due to risk factor of life, not due to his desire of heart. An unintentionally purchased product is life insurance product.

LEVEL OF CONSUMER PRODUCT

CORE OF EFU Core means the main benefit of the product, so

Monetary saving is probably the biggest benefit of committing to life insurance early in life.

http://www.100stips.com/beauty-tips/the-main-benefit-of-taking-out-life-insurance-early-on-in-life

.Our opinion Core of life insurance does not mean the compensation

of loss of life but it is only the lump sum payment to nominee, it can be very beneficial.

AUGMENTED PRODUCT

Unit-linked productsCritical illness productsEducation planning productInflation protection benefitPension PlansIslamic Fund Products

Insurance plan guider book. Installment payment date information

by sms.

ACTUAL PRODUCT

For individual Bank insurance Group insurance Islamic funds product

OUR OPINION

Indirect marketing should be promoted. Promotion of Online premium payment

services. Low cost life plans should offered. Innovations in life plans should be made

to hit the target market. Plan should hit the needs of customers.

PRICING

Price is determined on the basis of risk factors.

For youngster risk involvement is low.For old age and army soldiers Risk involvement is high and premium is

also high.

PRICING STRATEGY

Value based strategy is adopted by Efu insurance company.

Our opinion Relationship pricing strategy in our

opinion should be adopted. Logic: strong relationships leads

toward the motive(serving the humanity) of Efu life insurance.

PLACE OR DISTRIBUTION

Indirect marketing channel For awareness of life insurance product , brokers

, agent and middle man play there vital role. Life insurance product is widely spread via this

channel. Source;Wasim abidi Unit manager of efu branch located at university chowk in

Bahawalpur.Farhan Tariq Unit manager of efu branch located in ahmed pur east.

OUR OPINION

Indirect marketing channel electronic media like press, internet and other publication sources should be used.

Although there is always a need for publicity to any product. Both channel can also be used.

PRICING STRATAGY

Value base pricing strategy of value base pricing is adopted by

efu. Our opinionRelationship strategy should also be adopted.Logic ;Customer relationship is preferable for the

company to promote business. Relationships lead towards the motive(serve the humanity) of efu.

Thank You