1

SUBMITTED TO: Dr. BIBHASH CHANDRA

SUMITTED BY: SURAJ SINGHA ROY (MB/09/012)

2009-2011
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STUDY ON SOME ASPECTS OF BRANCH MARKETING

ACTIVITY OF PEERLESS

PROJECT REPORT
SUBMITTED IN PARTIAL FULFILLMENT OF THE
REQUIREMENTS FOR THE MASTER DEGREE IN BUSINESS
ADMINISTRATION UNDER WEST BENGAL UNIVERSITY OF
TECHNOLOGY, KOLKATA

BY

NAME: SURAJ SINGHA ROY

ROLL NO.: 09167009101
REGISTRATION NO.: 091670710090
SPECIALIZATION: MARKETING

SUPERVISED BY

NAME OF THE INTERNAL GUIDE

(DESIGNATION)
Dr. BIBHAS CHANDRA
(H.O.D. OF MBA)

DEPARTMENT OF BUSINESS ADMINISTRATION

MANAGEMENT INSTITUTE OF DURGAPUR
DURGAPUR-12
(WEST BENGAL)
2010

CERTIFICATE
 3

This is to certify that the Project entitled “STUDY ON SOME ASPECTS

BRANCH MARKETING ACTIVITY OF PEERLESS.” submitted
SURAJ SINGHA ROY (Roll No. 09167009101) to the Management Institut
Durgapur, West Bengal, India, for the award of the degree of Master of Busi
Administration in West Bengal University of Technology, is a bona fide w
carried out by her under my supervision and guidance.

I am satisfied with the contents of her Project Report and I do mention that
has undertaken the project work systematically, meticulously and hav
thorough grasped over the subject concerned.

In my opinion, the project report has fulfilled all the requirements as per
Course Curriculum. To the best of my knowledge, the results embodied in
report have not been submitted to any other University or Institute for award
any degree or diploma.

…………………………………..
Dr. BIBHAS CHANDRA
Place: Durgapur
Date:
 4

DECLERATION

I hereby declare that this project titled “STUDY ON SOME ASPECTS

OF BRANCH MARKETING ACTIVITY OF PEERLESS” is
submitted for the partial fulfillment of the course MBA (Master of Business
Administration), under W.B.U.T. This is an original piece of work done by me
under the guidance of Dr. BIBHAS CHANDRA (Faculty of MID, Durgapur)
& Name of the External Guide (Designation, Place), and it has not been submitted
for the award of any other degree elsewhere in full or part.

DATE:

PLACE: ….…………………
SIGNATURE

(Name of the Stude

CONTENT
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SL.NO TITLE PAGE NO.

1 ACKNOWLEDGEMENT 6

2 PREFACE 7

3 INTRODUCTION 8

4 STRUCTURE OF THE 9
ORGANIZATION
5 COMPANY PROFILE 10

6 FINANCIAL PRODUCT 24
DISTRIDUTION
7 PRODUCT DETAILS 26

8 GRAPHICAL 38
REPRESENTATION
9 OBJECTIVES OF THE 40
PROJECT
10 RESEARCH METHODOLOGY 41

11 RESEARCH LIMITATIONS 43

12 SUGGESTION and 44
RECOMMENDATION

13 CONCLUTION 45

14 BIBLIOGRAPHY 46

ACKNOWLEDGEMENT
 6

I would like to thanks Mr. Premanku Bhattacharjee, HR head of

Peerless General Finance and Investment Company, who allowed me to do
my Summer Project at well regarded Asset Management Company and Offer me
the opportunity to learn more about Various Investment policies and Mutual
Funds of MAX NEW YORK LIFE INSURANCE CO. LTD. (a joint venture
between Max India Limited, one of India's leading multi-business corporations
and New York Life International, the international arm of New York Life, a
Fortune 100 company).

I express my appreciative thanks to Dr. BIBHAS CHANDA, Faculty guides for

his guidance and help to complete my summer project. I would also like to thank
Mr. Rajib Dutta, asst. manager sales of Peerless General Finance and
Investment Co. Ltd for his helpful advice and guidance. Also, My thanks to those
unnamed staff of Peerless Developers.

PREFACE
The business of insurance is related to the protection of economic value of assets. The
assets would have been created through the efforts of the owner, in the expectation th
either through the income generated there from the some other output, some of his ne
would be met. If assets get lost earlier, being destroyed or made non-functional, throu
an accident or other unfortunate event, the owner and those deriving benefits there fro
suffer. Insurance is a mechanism that helps to reduce such adverse consequences.
Insurance plays a major role in different perspective. For economic development
investments are necessary. Investments are made out of savings. A life insurance
company is a major investment for the mobilization of saving of people, particularly f
the middle and lower income groups. These savings are channeled in to the investmen
for economic growth. In order to amenable to statistical predictions, insurance risks m
 7

be handled on a large scale.

All organization face change in their environment with resultant change in their mark
and in the ability to satisfy their markets. Each organization is faced with new market
problems and opportunities in their existing and potential market. Marketing decision
makers cope with these challenges in a variety of ways. The marketer’s is being requi
to forecast, forecast the risk and uncertainness in their own way, supported by market
research.

INTRODUCTION

FPD entails a distribution company having a tie-up with a financial product

company (i.e. principal) to distribute its products within a specified geography
against payment of commission and other fees.
Through congruence with PGFI’s current strengths of a strong and reliable brand,
spread across 151 cities in 25 states and 4 UT (primarily in district headquarters,
which gives an access to the emerging market in the hinterland), connectivity
across all 158 branches, widespread sales force and huge customer database,
Financial Product Distribution emerged as a very lucrative option.
This would also help PGFI to raise its capability bar to build competences and
resources that will help it to re-build its own brand in the fund-based financial
sector businesses in the future (possibly with the help of a strategic partner).
 8

PGFI continues to remain primarily a single-line company, the RNBC

business, and while options for new business ventures were being
considered, company evaluated both fund-based and fee-based business.
In today’s competitive market, all companies would like to focus only
on core functions and partner with other firms for those activities where
it has limited competence. A similar situation is noticed in the financial
market, where financial players too have adopted a similar model.
While the principals focus on activities like product design and yield
management, they have partnered with companies strong in the area of
distribution (through network of offices and sales channels) for
distributing their products. These products range from life and non-life
insurance, mutual funds, loan products, credit cards and deposit
products (started with the issuance of the business correspondent
circular).
After foraying into the new domain of  financial product distribution,
within the period ended March 2007, PDL notched up business volumes
worth more than Rs 29 crores. It has commenced distribution of  general
insurance products. Going forward plans are afoot to spread its wings
in distribution of MUTUAL fund products, loan products, credit
cards as well as other financial services so that any consumer whenever
he thinks of money, thinks of Peerless Smart Money.

Structure of the Organization :

Finance Department
Planning department
Marketing Department
Investment Department
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HR Department

EDP Department

Account Department

Public Relation department

COMPANY PROFILE

It was Late Radhashyam Roy, a high school teacher, who launched the

Peerless Insurance Co. Ltd. in Narayanganj , now a part of Bangladesh.

Radhashyam started his venture with a capital of mere Rs.300. In the following
years, it became a one of the leading provident Insurance company. Later the
headquarter of the company was shifted to Kolkata. After the nationalization of
life insurance , Peerless Smart Financial Solution turned its focus on small
savings and became the first non-Banking finance company of the country.

However, the main architect behind the grand success of the

Company was late B.K Roy who brought the doorstep service model to
Mobilize small savings from semi-urban as well as rural areas. In the year 1972,
the Peerless Smart Finance Solution introduce savings chemes that comes with
free insurance benefit against accidental death. It also introduce ‘Swarojgar
Yojana’ – a direct marketing model, where agent Where employed.

Now the company has prioritized information Technology ,

Strengthening of human resources, Training and Reward & Recognition
 10

Programmers to promote business in today’s fiercely competitive

Business environment. The company has also continued mutual fund
products distribution, acquiring & honing knowledge and expertise,
Which will eventually prove a great advantage in managing its own mutual fund
operation?

Peerless Developers Ltd (PDL) has performed well. Its target segment
being mostly middle class. Its performance has remained almost unaffected.
Regarding its role in FPD business as corporate agent of Max New York life
Insurance.

The company is a corporate agent of IFFCO- TOKIO general insurance Co. Ltd.
for distribution of general insurance product which is also picking up.

There were two high points in the Company’s financial performance

Last year. First the company earned a profit after tax of Rs. 236 corer reflecting
an increase of 64% over that of the previous year. This was also the highest net
profit earned by the company since inception.

The second high point is a consequential one viz that the company’s net
worth crossed the figure of Rs. 1000 corer as on 31 March 2009 because of the
large net profit earned. This high worth and the fact testing to the financial
strength and soundness of the company.

The company’s board and management have identified FPD as a key business
line to replace the RNBC business. Although this business grew during the year
by 22% over the previous year’s performance the progress fell short of the
company’s plan. This was because of the unprecedented turmoil in the financial
market in India a part of an even bigger turmoil in global markets.
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Products:

Our wide range of products and services include : Smart Saving Bond, Quick
Return Bond, Encash Bond, Multi Protector, Life Saving Bond, Future Smart
Plan, Flexi Life Savings Plan, Recuring Fixed Deposit, Daily Deposit, Smart
Money Back, Growing interest. Our latest products are : Peerless Smart Savings
Bond, Peerless Life Savings Bond, Flexi Life Savings Plan.

PGFI VISION

The vision of PGFI is to emerge as the country’s most trusted doorstep financial
services provider in the private sector with the lowest servicing cost to the
customers. We will accomplish our vision through our commitment to strategic
growth, quality service and creation of self employment opportunities for more
people

PGFI MISSION

To be premier financial services company helping people build their security by

providing them with innovative financial product and quality investment
solutions through dedicated service.

 To create livelihood solutions across the length and breadth of the

country .
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 To fulfill its role as a responsible corporate citizen.

 To provide a supportive and rewarding environment for employees.

UNIQUE DISTRIBUTION

 The country’s premier financial service provider in the private sector

with over 77 years of experience
 Professionally managed by host of eminent corporate leaders on the
board with Mr. D Basu as the chairman and Mr. S .K . Roy as the
managing director.
 A wide variety of tailor- made, co- branded , insurance- linked
financial products.
 Technology- based, prompt and personalized service, right at the customers
doorsteps .

 Helping people build up regular savings habit and offering assured

return with total security.
 Set an immaculately spotless record of maturity payment – over
Rs.15800 Crore already disbursed.
 Safe and riskless – over 100% in secured approved investments.
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 Tapping the untapped areas- mopping up hug un surfaced resources

and injecting the same in to the mainstream of the country’s economy.

Strategies adopted towards its investors, employees, agents

and the platform for service delivery.

Peerless believers in “Excellence in Customer Service” in its pursuit to achieve

its corporate objective.

Investor
Offering a wide spectrum of need based schemes along with xcellence in
service.
Our focus is on total satisfaction of the customer and this will continue
to figure as our top most priority.

Bringing technology- based prompt and personalized service, right at the

investors doorsteps and assuring them of the safety of their investment.

Human Resources

We recognize that our strength is in our people. We try to ensure total customer
responsiveness by.

Learning from the best world class processes.

Adapting to change while remembering that change does not mean
Rejection of the past. It means relearning currently prevalent
philosophy from a brighter future.

Continuing to achieve our goals through active cooperation and

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Involvement of our people.

It is our aspiration to became the benchmark of corporate teamwork.

Financial Advisors
Providing excellent self – employment opportunities with ample
Scope of earning to countless men and women across to country.

Our objective is to help them build up stable, secure, rewarding

& prestigious marketing career under our Smart Rojgar Jojana.
Information technology

Enabling efficient prompt service to our customer by continuously upgrading

our IT service delivery platform.

Adopting state of the art technology across branches & service centers and
progressing networking initiatives.

DEFINITION OF MARKETING

Marketing is the process by which companies determine what product or

services may be of interest to customers, and the strategy to use in sales and
communications. It is an integrated process through which companies create
value for customers and build strong customer relationship in order to capture
value from customer in return.

Marketing is used to identify the customer to keep the customer and to satisfy
the customer. With the customer as the focus of its activities it can be concluded
that marketing management is one of the major components of business
 15

management. The evolution of marketing was caused due to mature markets and
overcapacities in the last decades. Companies then shifted the focus from
production to the customer in order to stay profitable.

The tern marketing concept holds that achieving organization goals depends on
knowing the needs and wants of target markets and delivering the desired
satisfaction. Its proposes that in order to satisfy its organizational objectives an
organization should anticipate to needs and wants on consumers and satisfy
these more effectively than competitors.

Marketing is defined by the American marketing Association (AMA) as ‘ the

activity’ set of institution and processes from creating , communication ,
delivering and exchanging offerings that have value from customer clients
partners and society at large. “The term developed from the original meaning
which referred literally to going to a market to buy or sell goods or service. Seen
from a systems point of view, sales process engineering views marketing as” set
of process that are interconnected and interdependent with other function whose
methods can be improved using and variety of relatively new approaches.

MARKETING ORIENTATION
An orientation in the marketing context relates to a perception or attitude a firm
towards its product or service essentially concerning consumers and end users.

PGFI announced the commencement of its mutual fund business

Peerless General Finance & Investment Company Ltd (PGFI) announced the
commencement of its mutual fund business, Peerless Funds Management Compan
Ltd.(PFMCL), as a wholly-owned subsidiaryofPGFI.
The Company has launched its products include liquid and ultra short term funds
catering to institutional needs and savings fund for retail customers.

PFMCL, according to Mr S.K. Roy, Managing Director of PGFI, is the first financ
 16

services company in eastern India to have received the SEBI approval for setting u
its asset management company.

The President of India Her Excellency Smt Pratibha Patil confers the prestigious
Padma Shri award upon Shri S K Roy, Managing Director, The Peerless General
Finance & Investment Company Ltd in recognition of his distinguished services in
field of social work. The ceremony took place in Delhi on March 31, 2009

Mr S K Roy, Managing Director, The Peerless General Finance & Investment

Company Ltd., is awarded the Padma Shri Our respected and beloved Managing
Director, Mr S K Roy has been bestowed with the prestigious ‘Padma Shri’ award
Government of India. Our M D has been honored for exceptional and distinguishe
work done by him in the field of social work.
The Padma Shri is an award given by the Government of India generally to Indian
citizens to recognize their distinguished contribution in various spheres of activity
including the Arts, Education, Industry, Literature, Science, Sports, Social Service
and public life. It was first instituted in 1954.
A felicitation ceremony to honor our MD was held at Nazrul Manch, Kolkata on
February 6, 2009. Mr Dipankar Basu, Chaorman, PGFI, Mr S M Datta, Director,
PGFI, Mr B Lahiri, Director(Operations), PGFI, Mr K S Bagchi, Managing Direct
Bengal Peerless Housing Development Co. Ltd., Mr P P Ray, Director, Peerless
Developers Ltd., Mr A K Chatterjee, Managing Director, Peerless Hotels Ltd., Mr
Indrajit Gupta, Managing Director, Peerless Securities Ltd., Mr Jayanta Roy,
Director(Corporate Planning & Strategy), PGFI, Mr Akshay Gupta, CEO Designa
peerless Fund Management Company spoke on the occasion. Shrimat Swami
Ameyanandaji Maharaj, President, Matri Mandir & Ramakrishna Mission Sarada
Sevashrama, Joyrambati, Shrimat Swami Vishwanathanandaji Maharaj, Ramakris
 17

Math & Ramakrishna Mission, Kamarapukur, Shrimat Swami Bodhasaranandaji

Maharaj, President, Advaita Ashrama, Shrimat Swami Biswatmanandaji Maharaj,
Bharat Sevashram Sanhga shared their reminiscences with the audience. Mr Anud
Ghosh, General Secretary, Peerless Employees’ Union and Mr Pranabesh
Bhattacharya, General Secretary, Peerless Karmachari Samity also addressed the
gathering.

Speaking on the occasion, Mr S K Roy emphasized that the award was recognition
the collective contribution of Team Peerless in the field of social welfare. He
dedicated the Padma Shri award to his late elder brother, Shri B K Roy, the archite
of modern Peerless, whose selfless service to humanity inspired Team Peerless to
further. He said that the award made him feel more responsible towards his duty to
society and he would continue to serve humanity to the best of his ability.

Product Innovation

In a product innovation approach the company pursues a product in innovation then tr

develop a market for the product. Product innovation drives the process and marketin
research in conduct primarily to ensure that profitable market segment exist for the
innovation. The rationale is that customer may not know what options will be availab
them in the future so we should not expect them to tell us what they will buy in the fu
however marketers can aggressively over- pursue product innovation and try to

overcapitalize on a niche. When pursuing a product innovation approach marketers m

ensure that they have a varied and multi- tiered approach to product innovation. It is
claimed that if Thomas Edison depended on marketing research he would have produ
larger candles rather than inventing light bulbs. Many firms search as research and
 18

development focused companies successfully focus on product innovation. Many pur

doubt whether this is really a from of marketing orientation at all because of the ex-po
status of consumer research.

Customer Orientation

A firm in the market economy survives by producing goods that persons are willin
able to buy. Consequently ascertaining consumer demand is vital from a firm’s
viability and event existence as a going concern. Many companies today have a cus
focus. This implies that the company focuses its activities and products on con
demands. Generally there are there ways of doing this the customer driven approac
sense of identifying market changes and the product innovation approach.

A formal approach to this customer focused marketing is know as SIVA. This s

is basically the four Ps renamed and rewarded to provide a customer focus. The
Model provides a demands/ customer centric version alternative to the well know
supply side model of marketing management.

Product ------ Solution

Promotion------Information

Price--------- value

Placement----- Access
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Organization Orientation

In this sense a firm’s marketing development is often seen as of prime importance

with in the functional level of an organization. Information from an organization’s
marketing development would be used to guide the actions of other development
with in the firms. AS an example a marketing development could ascertain that
consumer desired a new type of product or a new usage for an existing product
with this in mind the marketing development would inform the R&D development
to create a prototype of a product/service based on customer’s new desires.

The production development would then start to manufacturing to product

while the marketing development would focus on the promotion distribution
pricing etc. of the product additionally a firm’s finance development would be
consulted with respect to securing appropriate funding for the development
production and promotion of the product. Inter-departmental conflicts may occur
should a firm adhere to the marketing orientation. production may oppose the
installation support and servicing of the new capital stock which may be needed to
manufacture a new product.
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Key Marketing Objectives:-

Establishing your key marketing objective is an essential area of the business

because its shows just how you will identify with your potential customer how you
promote to them and more important how you will keep them coming back (and way
your competitors) Also this area would identify your strength, weakness, opportu
and threats.

Strength and weaknesses are deemed to be within control of your business(the m

marketing environment) whilst opportunities and threats are beyond your contro
macro marketing environment)

You will need to put into place strategies that:

1. Build on your strengths (S)
2. Minimize your weaknesses (W)
3. Capitalize on your opportunities (O)
4. Counteract your threats (T)

If you find that you have more weaknesses and threats than you have strengths
opportunities this may present a problem.
 21

Marketing plan outline:

1. Environment trends:
This includes research and analysis of the general business environment identi
opportunities and challenges for the business over the next three years. T
opportunities and challenges may also be transferred to the SWOT analysis u
opportunities and threats.

2. Industry conditions:
Is the market cyclical? Is the industry in a growth of decline stage and how long i
expected to last? How will you manage the business trough those periods? In other w
describe current state the market.

3. Product and service:

Outline specifically what products and or service your are selling. In table format li
contribution of each product or service to annual sales turnover.

4. Competitors:
Research and list your competitors that compete with your directly. If there any man
research and list say your should research them and identify the following.
a) Name of competitors.
b) Location.
c) How long have they been in business?
d) Personnel staff structure and set up.
e) Their strengths from yours and customers perspectives.
f) Their weaknesses from both yours and your customers perspectives.

5. Target Market:
You will need to describe those people that are most likely to purchase your produc
 22

or service you may have several groups that fall into the category of your target mark

6. Marketing Strategies:
These should focus on satisfying the relevant wants or needs of the target market.
What strategies will be adopted in regards to the following:

a) Product and service.

b) Pricing.
c) Distributing.
d) Image.
e) Promotions.

Utilizing your competitive advantage.

7. Marketing Controls:
What methods will you put into place monitor the effectiveness of your mark
activities? How will you know when they working?

Those could be the from of:

1) Sales analysis.
2) Customer retention and growth.
3) Profitability and person growth.
4) Measurement of new business to existing business
5) Measurement of business coming through promotional activity.
6) Measurement on the number of referrals that result in sales.
7) Measurement of how much business is generated from your website.
 23

Finan
product Distribution

What is Financial Product Distribution?

FPD entails a distribution company having a tie – up with financial product compa
distribute its products within a specified geography against payment of commission
other fees.
Through congruence with PGFI’s current strength of a strong and reliable br
spread across 151 cities in 25 states and 4 UT connectivity across all 158 bran
widespread sales force and huge customer database, Financial Product Distrib
emerged as a very lucrative option.
This would also help PGFI to raise its capacity bar to build competence
resources that will help it to re- build its own brand in the based financial sector bus
in the future.

Why financial product Distribution?

PGFI continues to remain primarily a single line company the RNBC business, and w
option for new business ventures were being considered.

Company evaluated both fund-based and fee-based business. In today’s compe

market, all companies would like to focus only on core function and partner with
firm’s for those activities where it has limited competence. A similar situation is no
in the financial market, where financial players too have adopted a similar model. W
 24

the principals focus on activities like product design and yield management they
partnered with companies strong in the area of distribution for distributing their produ

FUTURE IN FINANCIAL PRODUCT DISTRIBUTION

Despite of the wide range of products in RNBC category, strict regulation seems t
scope of future growth in this area. The attribute that PGFI has built over the yea
strong and reliable brand, huge customer base a spread over 130 cities in 25 states
4UTs are extremely conducive to the business of distribution of financial products.
After foraying into the new domain of financial product distribution, within
period ended March 2007, PDL notched up business volumes worth more than Rs
crores. It has commenced distribution of insurance product. Going forward plans
afoot to spread its wings in distribution of mutual fund product, loan products, c
cards as well as other financial services so that any consumer whenever he think
money, thinks of Peerless Smart Money.

Peerless distributing the following MYNL policies:

Max Mangal- Endowment plan

Max Vriksha- Money back plan
Life partner plus
Secure dream
Unit builder plus
 25

Product details:

MAX NEW YORK LIFE

A. Life Plans-

1. Life Secure Dreams-

Features:-
Guaranteed Returns
 Monthly Interest Credits with a minimum guaranteed rate.

Guaranteed Policy Continuance with Funding

 Policy continues after death of life insured with regular Premium Funding.

Guaranteed Policy Issuance

 No Medicals, policy issuance basis declaration of good health in the proposal form.

Guaranteed Living Benefits

 Loyalty Bonus added to the policy in each of last 5 policy years.

Guaranteed Protection
 10 times of Annual Premium paid on death of life insured, option to add on Personal Accid
Benefit ride

2. Level Term Policy-

Features:-

On death of life insured: In case of the unfortunate death of the life insured during the term o
 26

plan, an amount equal to the Sum assured is paid to the beneficiary.

Tax benefits:
You are entitled to the following tax benefits under Income Tax Act 1961:
Your premiums are eligible for deduction u/s 80C up to Rs.1,00,000/- every year.
Your DD rider premiums are eligible for an additional deduction u/s 80D up to Rs.10,
every year.
Your claim amounts (from death) are eligible for tax exemption u/s 10(10D).

3. Whole Life Participating-

Features:-
Benefits
Maturity Benefit
We will pay an amount equal to Sum Assured along with accrued bonus (if any)
Death Benefit
We will pay an amount equal to Sum Assured along with accrued bonus (if any)
If death occurs before life insured reaches age 10 , the company will refund all the prem
paid along with interest

Option to Participate in Progressive Bonuses

It allows you to top up your premiums to purchase additional Sum Assured towards your ex
policy. It also generates further bonuses.
Bonus Options
Paid in Cash
Premium Offset
Paid up Additions

Non-Forfeiture Options
In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash
to buy you insurance coverage in one of the following w
Reduced Paid Up: A lower Sum Assured for the remaining term of your p
Extended Term Insurance: The same Sum Assured is for part of the remaining term of your p
In case , you do not want either of the above, you can choose to take the cash value by cheque

4. Life Gain Plus 25 Participating-

Features:-
Living Benefit
Sum Assured plus accrued bonus plus Guaranteed Additions @ 10% of Sum Assured.

Death Benefit
In the first five years - Sum Assured plus additional insurance coverage purchased
 27

bonuses.
After five years - Double the Sum Assured plus additional insurance coverage purchased
bonuses.

Bonus Option
Paid in Cash
Premium Offsett
Paid up Additions

5. 20 years Endowment (par) Plan-

Features:-
Living Benefit
Sum Assured plus accrued bonus plus Guaranteed Additions @ 10% of Sum Assured.

Death Benefit
In the first five years - Sum Assured plus additional insurance coverage purchased
bonuses.
After five years - Double the Sum Assured plus additional insurance coverage purchased
bonuses

Bonus Options
Paid in Cash
Premium Offset
Paid up Additions

Guaranteed Financial Protection

Choice of premium payment term
Tax benefits on premiums and maturity proceeds
Additional protection through riders
Bonus is declared every year after the 3rd policy year

6. Life Pay Money Back Plan-

Features:-
Living Benefit
Sum Assured less money backs already paid plus 10% of SA as guaranteed addition
accrued bonuses
Money Backs at regular intervals

Death Benefit
Sum Assured plus Sum Assured of Paid Up Additions, if any (without deducting any m
 28

back installments, if already paid).

However , in the case of death before the age of 10 we will refund the premiums with inter

Bonus Options
Paid in Cash
Premium Offsett
Paid up Additions

Non-Forfeiture Options
In case , you are unable to pay your premiums, your policy will lapse and we will utilize your
value to buy you an insurance coverage in one of the following ways:

Reduced Paid Up: A smaller Sum Assured for the remaining term of your policy
Extended Term Insurance: The same Sum Assured is for part of the remaining term of
policy

7. Life Partner plus-

Features:-
Living Benefit
Money backs @ 7.5% of the Initial Sum Assured will be paid on each policy anniversary
age 61 to 75.Sum Assured with Sum Assured of Paid Up Additions, if any on maturity

Death Benefit
On death of life insured , we will pay an amount equal to Sum Assured plus accrued bonus
any)
If death occurs before life insured reaches age 10 the company will refund all the prem
paid along with interest.

Bonus Options
Paid in Cash
Premium Offset
Paid up Additions

Non-Forfeiture Options
In case you are unable to pay your premiums, your policy will lapse and we will utilize your cash
to buy you insurance coverage in one of the following ways:

Reduced Paid Up: A lower Sum Assured for the remaining term of your policy
Extended Term Insurance: The same Sum Assured is for part of the remaining term of
policy.

8. 8. Max Mangal™ Endowment Plan:

 29

Features:-

Entry Age18 to 50 yearMax Maturity Age65 years for 15 year plan

62 years for 12 year planPolicy Term12,15 yearsMinimum Sum Assured (SA)Rs. 50, 000Maximu
Sum Assured (per life)Rs. 2,33,236 for 12 year term
Rs. 2,09,424 for 15 year term
Premium Limited6 pay for 12 years term
6 or 12 pay option for 15 years term

Key benefits:

Assured High Returns : Guaranteed 110% of sum assured at maturity

Higher Security: Increasing life cover @ 6.5% per annum
Additional Maturity Benefit: Additional regular bonus payable at maturity
Peace Of Mind: Life Cover Increases even after premiums are fully paid
Flexibility: Option to choose tenor of 12 or 15 years
Easy To Plan: Pay premium only for 6 or 12 years
Easy to Own: No Medicals
Easy To Apply: Easy to fill proposal form
Save Tax: Tax benefits u/s 80C & 10(10D)
No Obligation: 15 days free look period
Quality Of Service: Service from an ISO 9001:2000 company

9. Max VrikshaTM- Money Back Plan

A tree gives protection in the form of shade and benefits in the form of fruits. Similarly, Max New
York Life’s Max Vriksha
TM
Money Back plan caters to both your financial and protection needs. It
makes money available while you are around thereby enabling you to enjoy its fruits and offers
enhanced protection in case you are no longer there to cater to their needs.

Key Benefits
1) Maturity Benefit
You will receive 115% of the initial sum insured together with sum insured of paid up additions, if
any, on maturity date of the policy. Please note that this maturity benefit is in addition to the
survival benefits you receive during the tenure of the plan.
 30

2) Survival Benefit
During the term of policy, you will receive 10% of sum insured each at the end of 4
The and 8
the policy year and 15% of sum insured at the end of 12
the year. In addition, we shall also pay an amount
equal to 2% of sum insured every year from end of 3
rd policy year to end of 11
the policy year. This amount will be used to reduce the due premium of the subsequent year.
To receive the survival benefits you should have paid all due premiums till the date of
survival benefit payment..
3) Benefit payable upon death
In the unfortunate event of death of life insured during the term of the policy, we will pay the sum
insured or an increasing sum insured as explained below together with sum insured of paid up
additions, if any. The original sum insured shall increase by 4% of the initial sum insured at
simple rate at the end of every policy year until the year of death of the life insured.

Plan Details –
Entry age Minimum – 18 years
Maximum – 50 years
Maximum maturity age 66 years
Policy Term 16 years
Premium payment term 12 years
Minimum Initial Sum Assured Rs 50,000 onwards
Maximum Initial Sum Assured Rs. 2,50,000
Survival Benefits 10% of the sum insured at the end of 4th and
8th year and 15% of the sum insured at the
end of 12th year, and
2% of sum insured at the end of 3rd to 11th
policy year which will be used to reduce the
premiums for next year
Benefit at maturity 115% of sum insured together with sum
insured of paid up additions if any
Death Benefit Increasing Sum insured together with sum
insured of paid additions if any
Premium payment options Annual, Semi-annual, Quarterly, Monthly
Premium payment frequency Factor Annual: 1, Semiannual: 0.52,
 31

Quarterly: 0.265, Monthly: 0.09

B. Growth Plan-

1. Max New York Smart Express-

Features:-
Criteria Eligibility
Entry Age Minimum: 91 day
Maximum: 55 years (Single Premium
                 60 years (3 pay/5 pay)
Maturity Age Maximum: 65 years (Single Premium
                 70 years (3 pay/5 pay)
Policy Term Fixed term of 10 years
Premium Payment Options Single Premium
3 Pay
5 Pay
Minimum Annual Target Premium(ATP) Single Premium: 1,50,00
3 Pay: 1,00,00
5 Pay: 50,000

Maturity Benefit:
Fund Value, which would also include Persistency Units each year for the last 5 years of the policy

Living Benefit
Premium Payment Option Persistency Unit as a % of ATP
Single Premium O.5%
3 Pay/5 Pay 4%
Settlement Option: On maturity you can take your entire money in a lump-sum or opt for a sett
option wherein;

Wealth creation through an extensive variety of expertly managed funds

Safety of investment through Money Market Fund
The comfort of a Limited premium paying term
Reward of persistency units, even with a short policy term
Additional protection against disease/disability through Rider options
Systematic Transfer Plan option: ensures investments have a safety belt while riding the c
market volatility.
 32

2. Max New York Fortune Builder Plus-

Features:-
Settlement Option:
On maturity you can take your entire money in a lump-sum or opt for a settlement option wherein:
You will receive periodical payments
Policy will continue without Death benefit for a maximum of 5 years, where it will contin
remain invested

 
Death Benefit:
 
Higher of Fund Value or Sum Assured
Family Income Benefit an amount equal to 10% of sum assured every year for 10 years
original policy maturity date (whichever happens earlier) is paid to the nominees, subject
maximum of 100% of Sum Assured

C. Child Plan-

1. Max New York Shiksha Plus-

Features:-
Maturity Benefit:
 
University Education Pool (fund value) along with the University Education Pool Booster(lo
additions in the last 6 policy years)
Loyalty Additions as a % of ATP to be added in each of the
Premium Payment Term
policy years
10 years 5%
15 to 25 years (Term * 2) %
 
 
Settlement Option:
On maturity you can take your entire money in a lump-sum or opt for a settlement option wherein:
You will receive periodical payments
Policy will continue without Death benefit for a maximum of 5 years, where it will contin
 33

remain invested

Living Benefit:
 
University Education Pool Booster in the form of loyalty additions to be added in the
policy years
Upgrade Premium for Sibling through a step up of 50% from the current premium o
birth of second child
Talent Enhancement Withdrawal

Death Benefit:
 
Immediate Family Support which is 100% of sum assured
University Education Support through funding of all the future premiums
School Fees Support in the form of 10% of initial sum assured every year
University Education Pool paid out on original maturity date
University Education Pool Booster

A 360 degree coverage to ensure a bright future for your child

Guaranteed pay out of University Education Pool and University Education Pool Booster
Upgrade Premium for Sibling on the birth/adoption of second child
Increasing Premium Option to counter the impact of inflation
Dynamic Fund Allocation ensures life stage based allocation of fund

Life Line Medicash Plus-

Benefits
 Cashless hospitalization available in over 4000+ network hospitals across the country Fixed
hospitalization benefit available irrespective of amount of actual billing.
 Benefits are payable in addition to any other health insurance cover that you may have with
other insurer.
 The premiums are guaranteed for five years from the effective date. After five years, the Co
revise the premium rates based upon the actual review of the claims experience subject to pr
approval of IRDA.
 Guaranteed Long-Term coverage for 10 years subject to payment of premium made by you.
 Premium discount incase policy is claim-free for first 5 years.
 34

 Tax benefit on the premium paid upto Rs.15, 000 under section 80 D of the Income Tax Act

Feature
Number Of Units Bought
  1 2 3 4 5
Daily 1000 2000 3000 4000 5000
Hospital
Cash C a s h l e s s h
Daily ICU 2000 4000 6000 8000 10000
hospitalization
Cash
benefit av
Recuperating 3000 6000 9000 12000 15000
irrespective
Cash (Lump-
amount of
Sum)
Annual Limit 50 days of Hospitalization billing.

(Days)B e n e f i t s a r e
Policy Term 250 days of Hospitalization insurer.
T
Limit (Days) h e p r e m i u m s
Surgical Cash 50,00 10000 15000 20000 250,00 premium rates
( Lump-Sum 0 0 0 0 0 upon the
Upto Rs) review of the
Minor (10%) 5,000 10,00 15,00 20,00 25,000 experience sub
0 0 0 prior approva
Intermediate 7,500 15,00 22,50 30,00 37,500 IRDA.
(15%) Guaranteed Long-Term coverage
0 0 years subject
for 10 0 to payment of premium made by you.
Major (35 %) 17,50 35,00 52,50 70,00 87,500
Premium discount incase policy is claim-free for first 5 years.
0 0 0 0
Tax benefit on the premium paid upto Rs.15, 000 under section 80 D of the Income Tax Act
Supra major 50,00 100,0 150,0 200,0 250,00
(100%) 0 00 00 00 0
Others Upto Upto  Upto  Upto Upto
10,00 10,00 10,00 10,00 10,000
0 0 0 0
 35

Pension Plans-

1. Smart Invest Pension Plus Super-

Features:-
Holistic Retirement Solution: Availability of Dread Disease Rider and Personal Ac
Benefit Rider make it a complete retirement solution that ensures that the retirement fund does not h
suffer in case of any unfortunate event.
No allocation charge from the first year:Make the maximum of your investments
Guaranteed Additions to your Fund: As you near your chosen age to retire, we add t
existing fund value through our guaranteed additions. This boosts your fund just when you require
a gift from us to you, as you begin your golden years.
Partial Withdrawals: Life does not always go according to plan and you should have an e
bright and carefree today as you would have a golden retirement
Choice is yours:
You decide the premium paying option: Whether Level or Increasing
You choose the vesting age
You decide the premium payment term as per your convenience
You can choose a top-up as and when you choose to
Tax benefit:
Your premiums are eligible for deduction U/S 80CCC up to Rs. 1,00,000/-every yea
1/3 rd of the corpus on maturity can be commuted and is eligible for tax exem
U/S10A

The Peerless General Finance and Investment Co. Ltd

 36

STEADY GROWTH AND PROGRESS

Series(1996-2009) Rs. In Crore

900
800
700
600
500 Series(1996-2009) Rs. In Crore

400
300
200
100
0
1 2 3 4 5 6 7 8 9 10 11 12

Maturity Payment

Series(1996-2009) Rs. In Crore

900
800
700
600
500 Series(1996-2009) Rs. In C

400
300
200
100
0
1 2 3 4 5 6 7 8 9 10 11 12

Financial Net Worth

 37

Series(1996-2009) Rs. In Crore

1
2
3
4

New Business

Series(1996-2009) Rs. In Crore

900

800

700

600

500 Series(1996-2009) Rs. In Cro

400

300

200

100

0
1 2 3 4 5 6 7 8 9 10 11 12 13

Objective of the Project

 38

· To understand the behavior dynamics and need state.

· To develop value-based offerings and services to re design their own product.
· To determine the strategies for customer retention and expansion.

BRANCH MARKETING ACTIVITIES

PGFI providing self employment opportunities to the young professionals under SMA
ROJGAR YOJANA. PGFI recruits talented professionals as a smart guide. Smart g
marketed the financial products and convenience the client and sell them the financial w
is distributed by PGFI. Every smart guide has unique agent according to their selling
are getting certain percentage of commission and apart from this if they are fulfill ce
targets they will get attractive REWARDS AND RECOGNITION (RNR).

PGFI gives them proper support. When any smart guide needs any support any of the bra
officers like Specified person or Relationship executive or Assistant branch manger alw
ready to help them. When they need any of the branch officers go with them to convince
client.

Branch manager always there to give them his full support and co-operation. If any s
guide needs him to convince the client he is always ready to go with them.
Various officers in the branch or branch manager always inform the smart guide about
product launch or other any information about product.
Branch manager always taken care the feedback which is given by the client and
necessary steps.

RESEARCH METHODOLOGY
 39

Research methodology is the way to systematically solve the problem. In it we study

the various steps that are generally adopted by a researcher in studying his Research
Problem along with the logic behind them. Thus, When we talk about research
methodology we not only talk of the research methods but also consider the logic
behind the methods we used in the context of our research study and explain why we
are using a particular method or technique and why we are not using others so that
research results are capable of being evaluated either by the researcher himself or by
Others.

PRIMARY OBJECTIVES:

 To recruit more and more Financial Consultant and to promote the benefits those are prov
by the Company itself.
 To find the different way of recruiting and selecting the Financial Consultants. Who
produce more and fruitful results?
 To study awareness of the Max New York Life Insurance and Peerless Income Plus F
(Mutual Fund).

SECONDARY OBJECTIVES:

 To determine the need and purpose of Financial Consultant.

 To understand the deciding criteria for people to become Financial Consultant.
 To collect and analysis the information of prospect candidates in order to
them appear in front of management so that they can be selected as Financial consulta
 To offer suggestions based upon the findings.

GEOGRAPHICAL SCOPE:

The same problem was with the all other branches of Hooghly and Howrah district.
management is conducting the same research on a big ground while my contribution is
Though my sample size and geographical area was defined and confine to a partic
territory but the application of output from the research are going to be wide.
 40

PROJECT SCOPE:

 Market segmentation to find the potential consultants for Peerless.

 To customize benefit package for consultants and help them to overcome their ag
problem arising out of their sedentary nature of work.
 Corporate marketing of this product.

RESEARCH LIMITATIONS:

 It was not possible to understand thoroughly about the different marketing aspects of
Financial Consultant within 30 days.
project.
 As stipend, money was not given it was difficult to continue the project work.

 All the work was limited in some limited areas of Serampore, Hooghly and some par
 41

Howrah, so the findings should not be generalized.

 The area of research was Hooghly and Howrah; it was too vast an area to cover within
days.

 Sometimes customers were not cooperative in behavior and don’t want to disclose about
profile of the branch where they are investing.

 People are sometimes not very aware about the all product and new or upcoming product
offers.

Suggestions and Recommendation



 People should be educated about the different types of products or plans offered by the l
insurance companies. Most of them don’t know much of the different types of plan
products.
 It was felt that most of the people took life for tax savings or just to cover up their life, n
as an investment avenue. Life Insurance companies need to advertise in such a mann
that people start investing in life insurance like the way they invest in the stock market.

 People are not aware of the life insurance. Most of them know only one company whi
 42

provides life insurance i.e. LIC. So awareness campaign should be run so that people a
aware of different life insurance companies in India.

 To create the awareness about the different products of Mutual Fund and not about t
generic product. Various respondents were not aware of the mutual fund products and t
type of mutual fund schemes and the risk associated with mutual fund products.

Conclusion:

A well-functioning insurance market plays an important role in economic development and

financial stability of developing economies such as India’s. First, it inculcates and
encourages the habit of saving. Second, it provides a safety net to rural and urban
enterprise and productive individuals.

The life insurance market in India is on a growth path. In spite of this, the country lags far
behind the others in awareness about life insurance. The challenge is to spread awareness
about life insurance and it true benefits. The industry has to convince people to park their
 43

hard earned money in long-term insurance and not just look at it as a tax saving instrument.

Another heartning trend was in terms of people viewing insurance as a tax saving
and investment instrument as much as a protective one. A very high number of
respondents have opted for insurance for such purposes and it shows how
insurance companies have been successful to attract public money in recent times.

The general satisfaction levels among public with regards to policy and agents still
requires improvement. But therein lies the opportunity for a relative new comer
like Max New York Life Insurance Company Ltd . LIC has never been known for
prompt service or customer oriented methods and Max New York Life can build
on these factors.

Reference Books:

 Marketing management : Philip Kotlar

 Research Methodology : C.K. Kothari

Newspapers:
 44

 Times of India

 Business Standard

Websites:

 www.peerless.com

 www.stockmaster.com

Search Engine:

 www.google.co.in

 www.wikipedia.com

 www.scribd.com
45