Analyzing customer decision making process in insurance services

WINTER INTERNSHIP
REPORT
Analyzing customer decision making process in
insurance services
done at
AIM India Pvt. Ltd.
by
Anand Singh Tomar
DM17B04
under the guidance of
Shivani Gupta
HR Area Manager

Winter Internship Report, Pune Institute of Business Management, Pune
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ACKNOWLEDGMENT
A four-week Industry training is a golden opportunity for learning and self-development. I
consider myself very lucky and honored to have so many wonderful people lead me through in
completion of this project.
At the outset, I would like to express my deep sense of gratitude and sincere thanks to Ms. Shivani
Gupta HR Area Manager, for providing an opportunity to discover the corporate world, from a
close perspective.
I take this opportunity to extend my sincere gratitude to Mr. Himalyay Sethi, Director, AIM India
New Delhi for giving me an opportunity to undertake internship training and the project on the
topic Analyzing customer decision making process in insurance services.
Last but not the least I am grateful to entire staff of AIM India branch, who helped me to collect
relevant data and get the real gist of current market scenario.
I also thankful to Dr. Govind Nath Srivastav my internal guide for this project to whom I am deeply
grateful for his constant support and guidance without which it would not have been possible for
me to complete this project on time.
I would also like to express my heartfelt wishes to AIM India, for making these four weeks a
stepping-stone for my career.

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COMPANY CERTIFICATE

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Contents
ACKNOWLEDGMENT.............................................................................................................................2
COMPANY CERTIFICATE.....................................................................................................................3
1. PROJECT SYNOPSIS..........................................................................................................................6
2. ABOUT THE SECTOR.........................................................................................................................7
Top companies in insurance sector are: .........................................................................................8
Evolution of Insurance sector ...........................................................................................................9
India insurance industry growth in last few years .....................................................................9
India’s current market continues to be strong .......................................................................10
India insurance industry contribution to GDP ..........................................................................11
In terms of policies sold following are the top insurers in India:..........................................11
India insurance industry - some key findings.............................................................................12
India insurance product composition...........................................................................................13
General Insurance ..........................................................................................................................13
Life Insurance..................................................................................................................................14
Top Insurance Policies......................................................................................................................15
India insurance industry major problems ...................................................................................17
Why are more people taking insurance policies?.......................................................................17
Porter’s Five Forces Model of Insurance Sector ........................................................................17
3. ABOUT THE COMPANY & DEPARTMENT .................................................................................19
AIM India Vision.................................................................................................................................21
AIM India Mission ..............................................................................................................................21
AIM India Services.............................................................................................................................21
Internship Services ........................................................................................................................21
Compliance Services......................................................................................................................22
Accounting Services.......................................................................................................................22
Taxation Services ...........................................................................................................................23
Training & Development Services..............................................................................................24
Recruitment Services ....................................................................................................................24
Consulting Services........................................................................................................................25
Insurance Services .........................................................................................................................25
Mutual Funds...................................................................................................................................26
Retirement Planning .....................................................................................................................27
International Expansion Services ..............................................................................................27

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Wealth advisory services ..............................................................................................................28
AIM India Product .............................................................................................................................28
India First Life Insurance ............................................................................................................28
Highlights of Maha Jeevan Product ..........................................................................................29
Joint Ventures of India first Life Insurance............................................................................29
SWOT Analysis ....................................................................................................................................30
Strength.............................................................................................................................................30
Weakness...........................................................................................................................................30
Opportunities...................................................................................................................................30
Threats...............................................................................................................................................30
Organizational Structure of AIM India ........................................................................................31
Recruitment & Selection Process of AIM India ..........................................................................31
For Interns........................................................................................................................................31
For Final Placement.......................................................................................................................31
4. INTERNSHIP SUMMARY.................................................................................................................32
Sales Process Summary ....................................................................................................................33
Winter Internship Achievements: ..................................................................................................37
5. PROJECT DESCRIPTION ...............................................................................................................38
Project Title: Analyzing customer decision making process in insurance services .........38
Methodology.....................................................................................................................................38
Research Design..............................................................................................................................38
Target Population...........................................................................................................................38
Sample Frame..................................................................................................................................38
Sample Size ......................................................................................................................................38
Sampling Techniques.....................................................................................................................38
Data Collection................................................................................................................................39
Data Analysis Tools ........................................................................................................................39
6. LEARNING/ FINDING.......................................................................................................................40
7. SUGGESTION .....................................................................................................................................51
8. REFERENCES.....................................................................................................................................52
Annexure

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1. PROJECT SYNOPSIS
Project Title
Company Name
Student Name
Student Roll No
External Mentor Name
External Mentor
Designation
Internal Mentor Name
Confidential Report
(Yes/No)
Duration of project
Project Summary
Analyzing customer decision
making process in insurance
services.
AIM India Pvt Ltd
Anand Singh Tomar
DM17B04
Shivani Gupta
HR Area Manager
Dr. Govindnath Srivastav
No
32 days
Project was to know
decision-making process of
customers while buying an
insurance policy. I with the
help of AIM India designed
a questionnaire for the
project. So, through online
platform & telephonic
interviews, i collected data
filled by respondents in
questionnarie and
completed my project with
new learnings, findings and
achievements.

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2. ABOUT THE SECTORi
Insurance in India refers to the market for insurance in India which covers both the public and
private sector organizations. It is listed in the Constitution of India in the Seventh Schedule as a
Union List subject, meaning it can only be legislated by the Central government. The insurance
industry of India consists of 57 insurance companies of which 24 are in life insurance business and
33 are non-life insurers. The Confederation of Indian Industry states that the insurance sector of
the country has been witnessing a consistent growth rate of late and its present worth is 41 billion
US dollars.
The industry has of late achieved a yearly growth rate within 32 and 34 percent and this makes it
the 5th best among emerging economies around the world. The various entities of the industry are
also bringing out newer products on a regular basis to attract their customers. As per rules, the
upper limit of foreign direct investment permitted in this sector is 26 percent. However, this has to
be done through the automatic route and the investor needs a license from Insurance Regulatory
and Development Authority (IRDA).
Among the life insurers, Life Insurance Corporation (LIC) is the sole public-sector company. Apart
from that, among the non-life insurers there are six public sector insurers. In addition to these,
there is sole national re-insurer, namely, General Insurance Corporation of India (GIC Re). Other
stakeholders in Indian Insurance market include agents (individual and corporate), brokers,
surveyors and third-party administrators servicing health insurance claims.

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Top companies in insurance sector are:ii
Company Market share
LIC 50%
ICICI 10%
SBI 5%
Bajaj 4%
Reliance 5%
HDFC 6%
Birla 4%
Max 3%
Tata 2%
Met Life 1%
Kotak 2%
India first life insurance 1%
Others 7%
50%
10%
5%
4%
5%
6%
4%
3%
2%
1% 2%
1%
7%
Market share
LIC ICICI SBI Bajaj
Reliance HDFC Birla Max
Tata Met Life Kotak India first life insurance
Others

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Evolution of Insurance sectoriii
 All life insurance companies were nationalized to form LIC in 1956 to increase penetration
and protect policy holders from mismanagement
 The non-life insurance business was nationalized to form GIC in 1972
 Malhotra Committee recommended opening up the insurance sector to private players
 IRDA, LIC and GIC Acts were passed in 1999, making IRDA the statutory regulatory body
for insurance and ending the monopoly of LIC and GIC
 Post liberalization, the insurance industry recorded significant growth; the number of
private players increased to 44 in 2012(1)
 The industry has been spurred by product innovation, vibrant distribution channels,
coupled with targeted publicity and promotional campaigns by the insurers
 In December 2014, Government approved the ordinance increasing FDI limit in Insurance
sector from 26 per cent to 49 per cent. This would likely to attract investment of US$ 7-8
billion
 In 2015, Government introduced Pradhan Mantri Suraksha Bima Yojna and Pradhan
Mantri Jeevan Jyoti Bima Yojana
 Government introduced Atal Pension Yojana and Health insurance in 2015
 As per Union Budget 2016-17, new health insurance scheme under the National Health
Protection Scheme has been introduced
 In Union Budget 2017, government increased the coverage from 30 per cent to 40 per cent
under Pradhan Mantri Fasal Bima Yojna.
 Insurance companies raised more than US$ 5 billion from public issues.
India insurance industry growth in last few yearsiv
The life insurance companies have performed the best when it comes to growth with an increase
of almost 70% in new premium that has been collected in the initial 5 months of 2012.
As per IRDA data, in April-August 2010 the insurance companies earned $11.73 billion in new
premium - in the corresponding period in the previous year the amount stood at 6.9 billion dollars.
LIC, a state held insurer, had been the biggest profit maker at that time with an addition of 88% to
their existing business. The privately-owned insurers together had seen a leap of 34% to their
policy sales.
ICICI Prudential earned 576.60 million dollars at that time. During April-August 2009 SBI Life
had earned $379.20 million in sales of new policies and that figure went up to $531.87 million in
the corresponding period in 2010 making it an increase of 40%. HDFC Standard Life also
experienced a good growth of 54% in new sales.
IRDA data shows that between April and October 2010 the general insurance industry experienced
a year-on-year growth of 22.76% with regards to underwritten gross premium.

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The total value of that premium was 5.29 billion dollars while the same figure stood at $4.31 billion
in April-October 2009. For the public-sector companies, the year-on-year growth rate was 21.09
percent between April-October 2010 and April-October 2009.
In the same period the privately held insurers saw an increase of 25.19 percent in terms of premium
collected. Among the publicly owned entities, New India Insurance was one of the better
performers with a premium income of 916.77 million dollars in April-October 2010.
At the same period in 2009 they had earned 770.25 million dollars which implies a growth rate of
19.04%. The IRDA Summary Report of Motor Data of Public and Private Sector Insurers 2009-
10 states that in the same period almost 28.4 million policies were sold and the aggregate worth of
premium collected was $2.31 billion.
The health insurance sector, according to the RNCOS' research report named "Booming Health
Insurance in India" posted unprecedented growth rates in 2008-09 and 2009-10. The report also
estimates that between the 2009-10 and 2013-14 the sector would see a compound annual growth
rate (CAGR) of at least 25%.
India’s current market continues to be strong
 The insurance industry is expected to reach US$ 280 billion by 2020. In 2016, around 46
private players were operating in the industry, while Life Insurance Corporation accounted
for 72.61 per cent of the country¡¦s insurance market.
 Individual single premiums received increased from US$ 0.16 billion in 2015 to around
US$ 1.02 billion in 2016.
 Indian Government announced its plans to divest US$ 1.63 billion worth of stakes in PSU
general insurance companies to execute the steep disinvestment target of US$ 10.78 billion
in FY17.
 IRDAI has allowed insurers to invest up to 10 per cent in additional tier 1 (AT1) bonds,
that are issued by banks to augment their tier 1 capital, in order to expand the pool of
eligible investors for the banks.

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India insurance industry contribution to GDPv
Experts are of the opinion that around the world the insurance industry contributes around 4.5%
to national GDPs. They have questioned the logicality of opinions that in India the contribution
can be higher saying that there are other important sectors like education, defense, and health that
cannot be undermined in this context.
They have ruled out possibilities that the sector can contribute 10% to India's GDP. The Chairman
of IRDA, Hari Narayan has ruled out any such possibility asking if India's GDP growth will be
that much in the next few years ahead.
The IRDA states that in India land and gold are more preferred as forms of investment. Narayan
feels that if the insurance sector is to do well in terms of contribution to GDP then more people
should be convinced about its capability to provide good ROI (return on investment).
In terms of policies sold following are the top insurers in India:vi
Company Policies sold (till December 2011)
LIC 20404281
Future Generali Life 100143
ICICI Prudential 785938
Met Life 98904
Reliance Life 698109
Star Union Dai-ichi 82037
Bajaj Allianz 640483
Shriram Life 73490
Birla Sunlife 589855
Bharti AXA Life 69151
SBI Life 491927
Aegon Religare 47332
Max New York 405662
IDBI Federal 45833
HDFC Standard 397408
Canara HSBC OBC Life 44899
Tata AIG 199275
DLF Pramerica 43299
Kotak Life Insurance 199614
IndiaFirst 38498
Aviva 100216
Sahara Life 36228
Edelweiss Tokio 1968

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India insurance industry - some key findings
Following are some important findings from World Bank regarding the condition of
insurance industry in India:
 Between 2005 and 2010 the yearly GDP growth was approximately 8.56%
 At the same time, the ratio of gross savings to GDP was 33%
 Middle class saw the quickest growth
 The life expectancy rate of people went up and urban development happened at almost
54%.
 In 2010 rate of premium growth came down to 4.2% and compared to global standards the
premium share was pretty low
 Major operational issues for insurers were expenditure control, claims settlement
procedures, improving investment yields, and capital requirements
 In the 2010-11 fiscal the life insurance industry grew by 4.20% while the general insurance
industry increased by 8.10%.
20404281
100143
785938
98904
698109
82037
640483
73490
589855
69151
491927
47332
405662
45833
397408
44899
199275
43299
199614
38498
100216
36228
Policies sold (till
December 2011), 1968
LIC
Future Generali Life
ICICI Prudential
Met Life
Reliance Life
Star Union Dai-ichi
Bajaj Allianz
Shriram Life
Birla Sunlife
Bharti AXA Life
SBI Life
Aegon Religare
Max New York
IDBI Federal
HDFC Standard
Canara HSBC OBC Life
Tata AIG
DLF Pramerica
Kotak Life Insurance
IndiaFirst
Aviva
Sahara Life
Edelweiss Tokio
0 5000000 10000000 15000000 20000000 25000000
AXIS TITLE
Policies sold (till December 2011)
Policies sold (till December 2011)

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 During that time the paid-up capital (private total) for the life insurance sector was INR
236.57 billion while the paid-up capital (industry total) was INR 236.63 billion.
 In 2010-11 the paid-up capital (private total) for the general insurance sector was INR
39.56 billion while the paid-up capital (industry total) was INR 67.06 billion.
 In 2010-11 the operating costs of privately owned life insurers was INR 159.62 billion
while the total life insurance industry expense was INR 329.42 billion.
 In the same time the privately owned general insurers spent INR 39.32 billion from an
industry total of INR 106.20 billion.
 In 2010-11 the privately held life insurers paid benefits and claims worth INR 312.51
billion while the industry aggregate was INR 1425.24 billion.
 At the same time the private general insurers paid benefits and claims worth INR 99.37
billion while the industry total was INR 295.36 billion.
India insurance product composition
General Insurance
Product Percentage
Engineering 4
Motor OD 27.63
Motor TP 14.94
Health 22.58
Aviation 1.08
Liability 2.4
Personal accident 2.63
Fire 10.91
Marine 5.97
Others 7.37
4
27.63
14.9422.58
1.08
2.4
2.63
10.91
5.97
7.37
General Insurance
Engineering Motor OD Motor TP Health Aviation
Liability Personal accident Fire Marine Others

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Life Insurance
Product Percentage
Non-linked life individual 21.7
Non-linked gen annuity group 4.33
Non-linked gen annuity individual 0.85
Non-linked pension group 4.22
Non-linked pension individual 0.25
Non-linked health 0.09
Linked insurance 55.01
Riders 0.01
Linked life group 13.54
21.7
4.33
0.85
4.22
0.25
0.09
55.01
0.01
13.54
Life Insurance
Non linked life individual Non linked gen annuity group Non linked gen annuity individual
Non linked pension group Non linked pension individual Non linked health
Linked insurance Riders Linked life group

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Top Insurance Policiesvii
Company Product
LIC Jeevan Vaibhav
ICICI Prudential ICICI Pru iCare
Reliance General Insurance
Reliance Private Car Insurance Reliance Travel Care for
Students
Bajaj Allianz CashRich
Family Floater Health Guard Plan
Car Insurance
HDFC Life Click2Protect
HDFC LIFE SMART WOMAN PLAN
Tata AIG Insurance Tata AIG Motor Insurance
Tata AIG Travel Insurance
Tata AIG Wellsurance Family
Kotak Life Insurance Kotak Assured Protection Plan
Kotak Assured Income Plan
Kotak Assured Investment Plan
Aviva Aviva Health Secure
Aviva i-Life
Future Generali Future Generali Smart Life
Future Generali Health Suraksha
MetLife Retirement Plans
Met Monthly Income Plan
Star Union Dai-ichi Life Insurance Suraksha Kavach
Shriram Life Insurance ShriLife
Wealth Plus
Money Back
Shriram Ujjwal Life SP
Bharti AXA Bharti AXA Life eProtect
Aegon Religare iTerm
IDBI Federal Termsurance
Wealthsurance
Childsurance
Lifesurance
Healthsurance
Incomesurance
Loansurance
Homesurance
Bondsurance

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Microsurance
Canara HSBC OBC Life Insurance Dream Smart Plan
Grow Smart Plan
Future Smart Plan
Secure Smart Plan
Smart Sanchay Plan
DLF Pramerica Life Insurance Income Rakshak
DLF Pramerica Family Income
DLF Pramerica Family First
DLF Pramerica U-Protect
IndiaFirst Life Insurance IndiaFirst Maha Jeevan Plan
Sahara Life Insurance Sahara Vatsalya-Jeevan Bima
Apollo Munich Health Insurance OptimaRESTORE
Star Health Insurance Family Health Optima
Star Unique Health
Senior Citizen Health Insurance
IFFCO TOKIO General Insurance Auto Protector Policy
Individual Medishield Policy
New India Assurance Householder's Policy
Motor Insurance Policy
Overseas Mediclaim Policy
Fire & Machinery Policy
Industrial All Risk Policy
Shopkeeper's Policy
Oriental Insurance Oriental's Motor Insurance Policy
Happy Family Floater Scheme
National Insurance Car Insurance
Cholamandalam MS General
Insurance Chola MS Private Car
Chola MS Student Travel
Chola MS Family Healthline
HDFC Ergo Travel Insurance
HDFC Ergo Health Suraksha
Universal Sompo General
Insurance Householder's Insurance Policy
Shopkeeper's Insurance Policy
Motor Insurance Policy
Individual Health Bills
L&T Insurance my:health Medisure Prime Insurance

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India insurance industry major problems
Following are some of the major problems plaguing the insurance industry in India:
 Focus on actuarial pricing
 Regulatory misunderstanding
 Investment regulations
 Solvency regulation
 Claims settlement procedures
 Data clarity
 Distribution channel issues
Why are more people taking insurance policies?
One of the major reasons for an increasing number of people availing insurance policies in India
is the growing level of awareness. People nowadays value their lives, their health, and their
families even more than before given the tough economic circumstances and so want to make sure
that everything is fine even if they are not there.
Yet another reason for the growing popularity of insurance policies is the benefit of tax exemption
that is provided to family oriented and individual plans. Majority of the private insurers also
provide lucrative returns and are now being availed by a section of the Indian society with greater
disposable earnings.
There is an aspect of psychological comfort attached to the insurance policies as well - whenever
an insurance is availed the policyholder can be more or less assured of a safe future for that
particular part of his or her life.
Porter’s Five Forces Model of Insurance Sector
Competition in an industry is rooted in its underlying economics, and competitive forces
exist that go well beyond the established combatants in a particular industry. Customers,
suppliers, potential entrants, and substitute products are all competitors that may be more
or less prominent or active depending on the industry. The state of competition in an
industry depends on five basic forces that are as follows:

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1. The threat of new entrants
 Other financial companies can enter the industry
 Overall threat is medium given that entry is subject to license and regulations
2. The bargaining power of buyers/customers
 Bargaining power of customers especially corporate is very high because they pay huge
amount of premium
3. The threat of substitute products
 Similarity in services makes switchover a potent threat
 Investment oriented customers have switched to other avenues
4. The amount of bargaining power suppliers have
 Supplier being the distributor or agent have high bargaining power because they have
customer database and can influence customers in making choices
5. The intensity of the competitive rivalry
 Insurance industry is becoming highly competitive with 52 players operating in the
industry
 Companies are competing on price and also using low price and high returns strategy for
customers to lure them

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3. ABOUT THE COMPANY & DEPARTMENTviii
Accrual Intelligence Manuals Group identity as the leading provider of professional wealth
advisory in India and abroad. AIM India delivers a one stop solution/ service to achieve financial
independence. There principle is to deliver high returns to our clients through our network of
government sector banks in India.
Aim India comprehensive wealth management is a high level professional service that combines
financial and investment advice in accounting, taxation services and retirement planning. Its
wealth management is much more than just investment advice as we encompass all parts of an
individual's financial life.
They coordinate all the services needed to manage client's money and plan for their own and
family's current and future needs, maintain and increase their wealth based on individual's financial
situation goals and comfort level with risk.
Aim India team offers an ongoing support and advice when your investment is successfully done.
They will keep you informed of changes in regulations that directly affect you and leaving you to
focus on strategies that maximize profitability and productivity in investment.

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India headquartered & experts in Wealth Advisory & Internships
 Based in India
 Wealth Management Advisors
 Corporate Service Provider
AIM India believes in Dynamic Culture and it is our goal to help the Individual in dealing with the
dynamism of environment whether it is related to their wealth or expansion of business. Aim India
Group is the leading Advisory in India and Abroad. We at AIM India provide Training /
Development programs in India and Abroad and are having a team of exclusive Corporate trainers.
There Principle is to deliver high rate of returns to our clients through our network of government
sector banks in India. Keeping in mind the most critical needs in today's context, they came up
with wealth Advisory firm to provide a customer expertise advice to achieve financial
Independence.

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AIM India Vision
We will seek out clients for whom we can serve as their trusted advisor, attending to the details of
their financial life as it moves forward. We will learn about their history, and help them clarify
their goals, values and dreams, rather than simply inquiring about their balance sheet. We will
develop a personal insight into their lives as well as the role money plays for them. By adding our
professional financial planning and investment management expertise and wisdom, we will serve
as a coach to assist in reaching their personal goals and recognizing financial peace of mind.
AIM India Mission
To seek opportunities to better the financial planning industry by educating other financial advisors
across the country. By sharing our knowledge, we will help create an environment where more
clients can be effectively served by an increasing number of advisors offering comprehensive
financial planning and adhering to a fiduciary standard.
AIM India Services
Internship Services
We provide domestic & international level internship. AIM India have a team of experienced
educational and training professionals who can provide training solutions for clients to ensure that
RPAS operations are effectively and seamlessly integrated into their existing business systems.
Our training specialists include technical training specialists, formed high school teachers,
university lectures and regulatory training specialists. We have developed training manuals,
conducted training needs analysis, provided in-house training and produced online and e-training
resources.

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Compliance Services
Our Compliance experts have the complete knowledge of the corporate compliance needs across
jurisdictions in the territory. Non-Compliance can result in fines and imprisonment if one has no
updates regarding important information. The compliance horizon in the Asian jurisdictions is
highly dynamic as most of the economies are on verge of transition. AIM India will be a valuable
partner for the companies having intra-regional operations offering them compliance
services/solutions for all of their Regional Subsidiaries. We will leave you to concentrate on your
core activities as we will be providing you the following services:
 Company Constitution
 Meetings & Company Officers
 Maintaining Statutory Books & Registers
 Annual Filings with The Company Registrar
 Statutory Reporting
Accounting Services
As the companies expand their business, accounting transactions gets bulky and complex and
accounting converts into a strategic function from primary function. At AIM India, we will provide
you customized accounting solutions as our accounting experts possess regional exposure and

23
extensive technical knowledge. Trusting a regional expert with accounting is elementary to achieve
control and transparency in accounting through standardization of agenda. We have a leading edge
of experienced professionals and IT System to render smooth, co-related and comprehensive
reinforcement regionally. We are dynamic towards systems and solutions to stay relevant to the
changes in the region. Our proficiency will empower the enterprises to expand by beholding the
measured decisions. Our Accounting Services are:
 Accounting and Bookkeeping
 Statutory Reporting
 Payroll and Expense Claim Management Services
 Bank Account Reconciliation
 Corporate Tax Compliance
Taxation Services
Tax arrangement is dynamic and complex as it changes with the change of authority. Its complexity
increases in the nation where there is tax at every level. Companies having cross border
transactions need effective planning to minimize tax costs. Tax liabilities can be optimized by
making effective structuring of business entities and revenue models. A new enterprise will need
a guidance to learn about the tax incentives, withholding tax and transfer pricing formalities which
is provided by the Tax professionals of AIM India Group. Our Professionals are well possessed
with the analytical understanding of taxation which will help the client in managing the Taxation
regime of his business. Our main services are:
 Corporate Income Tax Returns
 Vat Returns
 Indirect Tax
 Withholding Tax
 Tax Optimizations
 Transfer Pricing
 Tax Advisory in M&A, Cross Border Investment, Tax Disputes etc.

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Training & Development Services
Effective training and development begins with the overall strategy and objectives of the small
business. The entire training process should be planned in advance with specific company goals
in mind. AIM India helps in developing a training strategy, which will be helpful to assess the
company's customers and competitors, strengths and weaknesses, and any relevant industry or
societal trends. The next step is to use this information to identify where training is needed by the
organization as a whole or by individual employees. It will help in conducting an internal audit
to find general areas that might benefit from training, or to complete a skills inventory to
determine the types of skills employees possess and the types they may need in the future. Each
job within the company should be delegated on a task-by- task basis in order to help determine
the content of the training program.
Recruitment Services
Customized strategies are developed from a deep understanding and observation of organization's
culture and its business objectives. Expansion in new markets or recruitment for that market can
only be done after having the full-fledged knowledge of recruitment, remuneration and retention
strategies besides the understanding of regional work culture. At AIM India, you will find a
network of efficient regional consultants who will provide you the pathway towards seamless
recruitment services starting from identifying your potential clients to handling the immigration
process, if required. Our experts have the complete knowledge to provide valuable advisory in the
following matters:
 Candidate Search
 Profiling

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 Interview Coordination
 Employment Contract
 Immigration
 Advisory Service
Consulting Services
Asia is gaining importance as global economic engine and with the introduction of the concept of
International Business, every business in every country is trying to get connected with each other
despite of the regional differences. AIM India have a group of consultants which provides due
diligence to the different businesses regarding their critical business decisions such as M & A,
Investment and expansion into the new areas, etc. and we also help in identifying the new and
effective sources of advantages while avoiding risk. We mainly provide the following services:
 Corporate Development & Finance
 Investment
 People & Management
 New Market/Partner/Vendor Evaluation
 Operations
 Technology
 Grant Assistance (for Indian & Foreign companies)
Insurance Services

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Different types of business have different types of risks. For adequate coverage, regionally settled
businesses need a thorough understanding of their market so that they can identify the potential
risk involved. Natural disasters, political uncertainties, epidemics, terror threats, technological
threats are adding to the risks posed by economic instability and competition. AIM India have the
group of insurers who provide the comprehensive coverage and detailed risk assessment to identify
the gap. Our insurers will also advise you about the minimization of expenses on risk premium by
providing the services to reduce claims and they will help you in gaining the understanding of
uninsured risks so that you can avoid them. Our main services in this sector are:
 Risk Assessment
 Coverage
 Risk Management
 Corporate Insurance - Property, Pecuniary, Liability and Group
 Political Risk
 Professional Insurance
 Financial Risk
 Trade and Credit Risk
Mutual Funds
A mutual fund is a professionally-managed investment scheme, usually run by an asset
management company that brings together a group of people and invests their money in stocks,
bonds and other securities. As an investor, you can buy mutual fund 'units', which basically
represent your share of holdings in a particular scheme. These units can be purchased or redeemed
as needed at the fund's current net asset value (NAV). These NAVs keep fluctuating, according to
the fund's holdings. So, each investor participates proportionally in the gain or loss of the fund.
All the mutual funds are registered with SEBI. They function within the provisions of strict
regulation created to protect the interests of the investor. The biggest advantage of investing
through a mutual fund is that it gives small investors access to professionally-managed, diversified
portfolios of equities, bonds and other securities, which would be quite difficult to create with a
small amount of capital. AIM India will provide you all the updates and services regarding mutual
funds so that you can choose from the best available option.

27
Retirement Planning
There are two components to retirement income planning: Personal Planning and Financial
Planning. Personal planning is important because it is the determining factor of your satisfaction
with your retirement lifestyle. Financial planning is crucial because it identifies your sources of
income and expenses and establishes your retirement budget, based on your personal plan.
Personal Planning All too often people entering retirement do not place enough emphasis on
personal planning to ensure they maximize their opportunities. So, AIM India helps you at an early
stage in your planning process and gives you time to think about the choices you have, about how
you would like to spend your time during retirement.
Financial Planning Will you have adequate funds to provide the kind of retirement lifestyle you
envision? AIM India provides all the answer to the questions you are having and help you in
recalling that your income will likely come from three general sources: government pensions,
employment-related sources and your own personal investments.
International Expansion Services
Overseas market provides the opportunity to expand in the markets worldwide and also helps in
identifying the opportunities related to new sources of revenue, access to new talent, diversified
risk and competitive parity. It is well known that internationalization is a complex process. At AIM
India group, we have the specialists who can provide the country level compliance services,

28
accounting and taxation services, payroll and corporal secretarial services. We are meant to take
your company abroad for the expansion. We will help you in expanding your business in
Singapore, Malaysia and Dubai for a start.
Wealth advisory services
Wealth management as an investment-advisory discipline which incorporates financial planning,
investment portfolio management and a number of aggregated financial services. High-net- worth
individuals (HNWIs), small-business owners and families who desire the assistance of a
credentialed financial advisory specialist call upon wealth managers to coordinate retail banking,
estate planning, legal resources, tax professionals and investment management. At AIM India
Group, we have the wealth managers who have backgrounds as independent Chartered Financial
Consultants, Certified Financial Planners, Chartered Strategic Wealth Professionals, Chartered
Financial Planners or any credentialed (such as MBA) professional money managers who will help
you to enhance the income, growth and tax-favored treatment for long term.
Private wealth management is delivered to high-net- worth investors. We will also guide you on
the use of various estate planning vehicles, business-succession or stock-option planning, and the
occasional use of hedging derivatives for large blocks of stock.
AIM India Product
Aim India deals with India First life insurance Maha Jeevan product.
India First Life Insuranceix
India First Life Insurance Company is a life insurance company in India. It is a joint venture
between two of India's public-sector banks – Bank of Baroda (44%) and Andhra Bank (30%), and
UK's financial and investment company Legal & General (26%). It was incorporated in

29
November, 2009. It has its headquarters in Mumbai India First Life made more than Rs. 2 billion
in turnover in just four and half months since the insurance company became operational. India
First Life insurance company is headquartered in Mumbai. The company is headed by the MD &
CEO Ms.R.M. Vishakha.
Highlights of Maha Jeevan Product
Joint Ventures of India first Life Insurance
8% Return on Investment
Tax benefits under sec 80c & sec
1010d
Life Cover of 1 premium* (16-18)
times

30
SWOT Analysis
Strength
 Corporate collaborations
 Global presence
 Business growth
 Rise in per capita income
 Emerging middle-income group
Weakness
 Dominance of public sector
 Less promotions
Opportunities
 Creation of strong future growth
 Rise in income
 Rise in awareness
 Creation of stronger demand
Threats
 Economic crisis
 Entry of new NBFCs in the sector
 Varying government policies

31
Organizational Structure of AIM India
Recruitment & Selection Process of AIM India
For Interns
For Final Placement
CEO
Director
Managers
Corporate Sales
Manager
Interns
HR Area Manager
Interns
Admin Manager
Pre-
placement
talk
Personal
Interview
Offer Letter
Pre-
placement
talk
GD/Aptitude
Personal
Interview
Skype
Interview
Offer Letter

32
4. INTERNSHIP SUMMARY
Induction
HR profile
training
Finance
profile
training
Marketing
Profile
training
Role-plays
Field work
(Sales)
Market
Research
Analysis of
data
Evaluations
Counselling
Feedback
Recognition

33
Sales Process Summary
Week 1:
Day 1(18/12/2017): We were gathered in the corporate office of the company. Induction program
was done for all interns. We were introduced to the staff there and mentors were assigned. Interns
were told about organization vision, mission and goals were assigned later after the introduction,
we were given an activity of Money Multiplier where we earned Rs 1089 from Rs 500 investment.
Before leaving the office, we were assigned 2nd task i.e. online promotion of Aim India.
Day 2(19/12/2017): HR profile training was given i.e. recruitment & selection, interview process,
dress for success. We were told about how to manage payrolls and how to make ctc and all policies
used by the company while preparing CTC and I was assigned task 3 that was to make a payroll
CTC of 14 lacs i.e. pay slip.
Day 3(20/12/2017): Finance profile training was given to us i.e. taxation & all taxation slabs and
terminologies. I was certified as the winner of the Online promotion task of Aim India. We were
told how to know what CTC you have to pay how much tax. And we were assigned task 4 that
was that at CTC of 1crore 19 lacs and calculate how much tax has to be paid by Mr X? Role-
playing was done to understand various situations.
Day 4(21/12/2017): Finance profile training was given on various financial sectors with all merits
& demerits. I was assigned task 5 to prepare a presentation on different financial sectors and I have
to present it on next day.
Fixing appointment with potential customer.
Meeting with potential customer.
Follow-up through calls and 1-2 more meeting
with potential customer.
Closure and cheque taken from customer.
Insurance bond delievery to the customer
address.

34
Day 5(22/12/2017): I had given the presentation on the assigned task 5. We were told about the
tie-ups and banks that are the joint venture of India first life insurance. We were told about investor
expectations from an investment and various types of investment plans. I was assigned task 6 to
prepare a presentation on various bank tie-ups.
Day6(23/12/2017): I gave the presentation on task6. Marketing profile training was given to us.
Various tax benefits were told. How to pitch your product to a customer was told to us. How to
create a daily sales report was told to us. I was assigned task 7 to make a daily sales report. The
product launch was there and the name of the product was Maha Jeevan product of India First life
insurance which we have to sale. The product was briefly described and all plans of the product
were told to us. I was assigned task 8 to write Maha Jeevan product highlights in minimum 25
sentences where I wrote and told 41 sentences about the product.
Week 1 Learnings:
 Importance of organization goals.
 HR practices.
 Employee Lifecycle.
 CTC Payroll.
 Taxation.
 Different financial sectors.
 Tax benefits.
 Daily sales report.
 About Product.
Week 2:
Day 8(25/12/2017): Christmas Day celebration. Cake cutting ceremony and fun. Query session
related to the product.
Day 9(26/12/2017): Club launch. Briefing about documents required to buy product and courier
process. Roleplay. Queries about the product.
Day 10(27/12/2017): Contest launch. Briefing about online authentication, excel formation &
benefits illustration. Query session.
Day 11(28/12/2017): 4 meetings with my potential customer where I tell them about the
investment policy.
investment policy.
investment policy.

35
Week 2 Learnings:
 Patience.
 Situation handling.
 Competitors of our investment policy with more good features.
 Customers need and want.
 Approach to clients.
 Customer perceptions.
 Market scenario and insights.
 Marketing is not all about sitting in the office.
 Marketing strategies.
 Customer investment in various financial sectors.
Week 3:
investment policy.
Day 15(1/1/2018): 3 meetings with my potential customer where I tell them about the investment
policy.
policy.
policy.
policy.
policy.
policy.
Week 3 Learnings:
 Flexibility.
 Adaptability.
 Make your brand better.
 Customer orientation.
 Tactical skills.

36
 Influential skills.
 Customer relationship management.
 If the customer doesn't have need generate it.
Week 4:
policy.
policy.
policy.
policy.
policy.
policy.
policy.
Week 4 Learnings:
 Customer Delight.
 Conversion of the potential customer into the real customer.
 Leadership skills.
 Sales pitching skills.
 Customer follows up skills.
 Customer retention skills.
 Conversion of customer needs into the want.
 Promotion of product.
Week 5:
investment policy.
Day 29(15/1/2018): Market Research job profile training.

37
Day 30(16/1/2018): Project report submission and analysis.
Day 31(17/1/2018): Counselling & evaluation.
Day 32(18/1/2018): Certification & Recognitions.
Winter Internship Achievements:
My target of sales was Rs 65,000 and achieved sales of Rs 1,50,000.
Best intern of the batch.
Completed my winter internship with A+ grading.
Qualified for Jaipur and Manali business convention.
Qualified for AIM India Recognition night.
Got certificate of:
 Online promotion
 Best Presentation
 Early Bird
 Logger of the day

38
5. PROJECT DESCRIPTION
Project Title: Analyzing customer decision making process in insurance services
Methodology
The objectives of the study were to analyze and to know the decision that a customer take before
taking an insurance service. The research is Descriptive Research Design, the sources of data are
Primary data and the methods that were used in the data collection was Online Platform and
Questionnaire for the research. The target population for the study is the people with the age of 14
to 50, the sample frame is New Delhi area and size is 533, sampling technique is Probability and
data is obtained from the study which is analyzed through Microsoft-Excel.
Research Design
This research is a study that is mainly aimed at examining customer behavior in the insurance
industry. The descriptive research design is used to identify the new factors that are influencing
customer decision making process in insurance services to establish the relationship that exists
between factors to serve the customer in the better way.
According to the objective of research identify research technique for data collection it is
quantitative research type (Descriptive research) and questionnaire approach was adopted to
collect the data.
Target Population
The target population was the people of New Delhi area and all the potential customers of AIM
India.
Sample Frame
The sampling frame of the target population is the age between 14 to 50 years, with income of 2.5
lacs to 20 lacs having an occupation in government sector, businessman, private job or self-
employed.
Sample Size
Owing to the fact that, the population of all potential customers in New Delhi was too large and
was un-known at the time of the study, so I finalized five hundred thirty-three (533) data were
collected from customers of various occupation and age for the process the analysis.
Sampling Techniques
Sampling is done on probability basis. The theory behind the research is idealist, as quantitative
methods are used.

39
This method was selected to enable to target specific customers of insurance services who were in
position to provide the information needed for the study.
Data Collection
For the purpose of collecting data, a well-designed questionnaire was used which is or sometime
according to the research requirement questionnaire has been designed from organization for
industry specific research. This questionnaire consists of variables in both independent and
dependent variable namely, Attitude, Perceived ease of use, Perceived usefulness, decision-
making.
Data Analysis Tools
Microsoft Excel is used to analyze the primary data collected from the questionnaire and with the
feature of Pivot table of Microsoft Excel the data was analyzed and customer decision-making
process was identified.

40
6. LEARNING/ FINDINGx
1. How many people responded?
 533 respondents
2. What is Male and Female ratio of respondents?
Learnings:
In 533 respondents, 127 respondents were female and remaining 406 respondents were male
that is 24% were females and 76% were males. The ratio of the female is to male in this
research was 6:19. This shows that mostly decision-making process to take insurance or not
are taken by the male.
24%
76%
Gender
Female
Male
Gender Respondents
Female 127
Male 406
Grand Total 533

41
3. What is the Age of Respondents?
Age No of Respondents
14-20 13
21-25 52
25-30 110
30-35 143
35-40 127
40-45 63
45-50 12
50+ 13
Grand Total 533
Learnings:
In 533 respondents, maximum respondents were of age 30-35 that is 143 and minimum were the
age of more than 50+ that is 13. This shows that middle age people are more concerned about
decision-making process for insurance.
13
52
110
143
127
63
12 13
0
20
40
60
80
100
120
140
160
14-20 21-25 25-30 30-35 35-40 40-45 45-50 50+
Age
No of Respondents

42
4. What is the occupation of respondent?
Occupation No of Respondents
Government Services 108
Businessman 71
Private Job 155
Self-employed 89
Student 74
Others 36
Grand Total 533
Learnings:
In 533 respondents, maximum respondents are in private jobs that are 155 and minimum
respondents were students that is 71. This shows in terms of insurance decision-making process
private job occupation people are more concerned and students are less concerned about
insurances.
71
108
36
155
89
74
0 20 40 60 80 100 120 140 160 180
Businessman
Government Services
Others
Private Job
Self-employed
Student
Occupation
No of Respondents

43
5. What is the income of respondents?
Income No of Respondents
Nil 71
0 - 2.5 lacs 12
2.5 - 5 lacs 34
5 - 7.5 lacs 53
7.5 - 10 lacs 78
10 - 12.5 lacs 98
12.5 - 15 lacs 56
15 - 17.5 lacs 43
17.5 - 20 lacs 37
More than 20 lacs 33
Confidential 18
Grand Total 533
71
12
34
53
78
98
56
43
37 33
18
0
20
40
60
80
100
120
Income
No of Respondents

44
Learnings:
Out of 533 respondents, the income of maximum respondents that is 98 is 10 -12.5 lacs and
minimum respondents that is 12 is 0 – 2.5 lacs. This shows that income of 10 – 12.5 lacs people
are more curious and concerned in decision-making process of insurance services and 0 – 2.5
lacs people are very less concerned.
6. Are you risk averse?
Risk Averse No of Respondents
Maybe 200
No 270
Yes 63
Grand Total 533
Learnings:
Out of 533 respondents, 51% respondents that is 270 are not risk averse and 37% respondents that
are 200 maybe risk averse and remaining only 12% that is 63 are risk-averse. This shows that
people are less risk averse nowadays.
200, 37%
270, 51%
63, 12%
Risk Averse
Maybe No Yes

45
7. Do you have insurance policy?
Insurance Policy No of Respondents
No 239
Yes 294
Grand Total 533
Learnings:
Out of 533 respondents, 55% respondents that is 294 people have insurance policies and 45%
respondents that are 239 do not have insurance policy. This shows people are nowadays more
concerned to take the insurance policy.
45%
55%
Insurance Policy
No Yes

46
8. Which is the current state of your insurance?
Current State of Insurance No of Respondents
The insurance has been cancelled 38
The insurance is over 13
The insurance is still running 306
Don't have insurance policy 176
Grand Total 533
Learnings:
Out of 533 respondents, 306 respondent’s insurances are still running, 176 respondents don’t have
the insurance policy, 38 respondent’s insurances have been cancelled and 13 respondent’s
insurances is over. This shows that maximum people insurance is already running and they are
concerned about it.
38
13
306
176
0
50
100
150
200
250
300
350
The insurance has been
cancelled
The insurance is over The insurance is still running Don't have insurance policy
Current State of Insurance
No of Respondents

47
9. Which are the main reasons for which you would buy an insurance?
Reason for buying Insurance No of Respondents
Forced Selling 27
Investment 139
Security 293
Tax 62
Other 12
Grand Total 533
Learnings:
55% respondents buy insurance for security, 26% respondents buy insurance as investment
purpose, 12% respondents buy insurance to get tax benefits, 5% buy insurance as forced selling
and 2% buy insurance for other purposes. This shows that mostly customer buys insurance as the
reason for security.
Forced Selling, 27, 5%
Investment, 139, 26%
Security, 293, 55%
Tax, 62, 12%
Other, 12, 2%
Reason for buying Insurance
Forced Selling Investment Security Tax Other

48
10. What criteria you use for choosing the insurance company?
Criteria for choosing Insurance No of Respondents
Agents 24
Characteristics of Product 168
Recommendation 27
Services 111
Trust 203
Grand Total 533
Learnings:
38% respondents choose insurance on the basis of trust on insurance companies, 32% respondents
choose insurance on the basis of characteristics of product, 21% respondents choose insurance on
the basis of services provided by an insurance company, 5% respondents choose insurance on the
basis of recommendation and 4% respondents choose insurance through trusting agents. This
shows that customers choose insurance on the basis of trust over an insurance company.
24, 4%
168, 32%
27, 5%
111, 21%
203, 38%
Criteria for choosing Insurance
Agents
Characteristics of Product
Recommendation
Services
Trust

49
11. How do you prefer to buy an insurance?
Preference to buy an Insurance No of Respondent
Direct from agency 141
Insurance Agent 252
Online 140
Grand Total 533
Learnings:
47% respondents prefer to buy an insurance through an insurance agent, 27% respondents prefer
to buy an insurance directly from an agency and 26% respondents prefer to buy an insurance
through the online platform. This shows that people prefer to buy the insurance policy through an
insurance agent.
27%
47%
26%
Preference to buy an Insurance
Direct from agency
Insurance Agent
Online

50
12. Do you feel more protected having an insurance?
Feel protected having an insurance No of Respondents
No 51
Yes 482
Grand Total 533
Learnings:
90% respondents feel protected while having an insurance policy and 10% respondents do not feel
secure while having an insurance. This shows people feel protected while having an insurance
policy.
51, 10% 482, 90%482, 90%
Feel protected having an insurance
No Yes

51
7. SUGGESTION
 Promotion of India First Life Insurance company should be more on every platform.
 Claims of insurance policies should be given on time.
 Every benefit illustration through the policy must be shown in the bond.
 Every insurance policy should give their customer an online authentication where
they can be also updated with their policy details and premium.
 AIM India can collaborate with various multi-national companies and can get data
on newly hired employees, where the company can tell the employee the tax that
they can save their salaries.

52
8. REFERENCES
i https://www.ibef.org/
ii http://www.aceanalyser.com/
iii https://en.wikipedia.org
iv https://economictimes.indiatimes.com
vhttp://assocham.org/
vi https://www.insurance.com/
vii http://www.policybazaar.com/
viii http://www.aimincorp.com/
ix https://www.indiafirstlife.com/
x https://docs.google.com/forms/d/1NcYojJJM1-3DMsk--wUzN3xAd2SCuZRSi48-u5ypD6c

53
Annexure
Questionnaire
1. Name
2. Gender
a. Female
b. Male
3. Age
a. 14-20
b. 21-25
c. 25-30
d. 30-35
e. 35-40
f. 40-45
g. 45-50
h. 50+
4. Occupation
a. Government Services
b. Businessman
c. Private Job
d. Self-employed
e. Student
f. Other
5. Income
a. Nil
b. 0 - 2.5 lacs
c. 2.5 - 5 lacs
d. 5 - 7.5 lacs
e. 7.5 - 10 lacs
f. 10 - 12.5 lacs
g. 12.5 - 15 lacs
h. 15 - 17.5 lacs
i. 17.5 - 20 lacs
j. More than 20 lacs
k. Confidential

54
6. Are you risk averse?
a. Yes
b. No
c. Maybe
7. Do you have an insurance policy?
a. Yes
b. No
8. Which is the current state of your insurance?
a. The insurance is still running
b. The insurance is over
c. The insurance has been cancelled
d. Don't have insurance policy
e. Other
9. Which are the main reasons for which you would buy an insurance?
a. Tax
b. Investment
c. Security
d. Discipline
e. Forced Selling
f. Other
10. What criteria you use for choosing the insurance company?
a. Services
b. Trust
c. Publicity
d. Recommendation
e. Agents
f. Characteristics of Product
g. Other
11. How do you prefer to buy an insurance?
a. Insurance Agent
b. Direct from agency
c. Online
d. Other

55
12. Do you feel more protected having an insurance?
a. Yes
b. No
13. If you have not an insurance, would you buy one or you will not buy and why?

Analyzing customer decision making process in insurance services

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