sdlfosih

Marketing mix is the policy adopted by any concern to get success in the field of marketing. The life insurance marketing emphasizes the importance of the consumers preference. Therefore, a life insurer first analyses the nature of the consumer's needs. All the life insurance marketing efforts focus attention around the consumers needs. Then the management plan his product in such a way that he can give satisfaction to the consumers and face the competitors. All these programmes involve a number of functions which are to be planned carefully. Planning needs analysis of the insurance market to take a decision, prediction and forecastiong as to the future needs of the consurers. Thus, identification of demand and supply involves various functions of life insurance marketing to attain success in the insurance market and the combination of these function is known as Life Insurance Marketing Mix. According to Prof. Neil H. Borden, " The marketing mix refers to the apportionment of...

The first and formost objective of all marketing activities is the satisfying of human wants. Besides life insurance has other objectives too. Some of the objectives are : Spread of life insurance message Mobilization of savings in the form of pension Profit maximization Successful distribution of life insurance products Improving customer services Increasing customer base and its spread Developing corporate image Developing guiding policies and their implementation for a good result Suggest solution by studying the problems relating to life insurance business.

The economic activities can be divided into three main categories - Primary, Secondary and Tertiary. The primary activities include agriculture, fishing, forests and mining. The secondary activities include agriculture, construction, and industry. The tertiary activities include services like insurance, banking, finance, transport, communication etc. The list of services include utilities, civil, insurance banking, defense services, transport etc. In LIC, life insurance service are rendered with a view to protect the people against the risk of loss due to accident, fire, death, sickness, unemployment and so on. Some people might argue that there is service marketing, but only marketing in which the service element is greater than the product element. We do agree that, in the sale of majority of the goods, there are both a product part as well as a service part. However, there are so many service organizations like insurance companies, banks, transport companies who do not think of them...

Different insurance company can introduce different kinds of life insurance policies. Some of them are classified in to the following kinds. 1. Whole life policy The whole life policy will mature only on the death of the insured. This kind of policy is done to protect the dependents of insured in which low premium is paid up to his life. Although, this type of policy has no financial gain to insured, reach persons prefer to take this kind of policy to make provision for the payment of death duty. The policy can further be classified as under. Ordinary whole life policy : Under the ordinary whole life policy premiums are payable throughout the life of the insured and the insured sum is payable to his dependents or nominee only after his death. Limited premium whole life policy : Under the limited premium whole life policy, the premium is paid for a limited or selected period (say up to 20 years) but the policy will mature for payment only on the death of the insured. Si...

Insurance is a transfer of risk. Life insurance policy means a written document which says a payment of money is made on death but not one which says payment is made only if the death is accidental or if death happens in certain circumstances or during the period a person has agreed to pay premiums. A life insurance policy is a legally binding contract between an individual and insurer (insurance company) in which the individual transfers some or all of his or her human life value to the insurance company. Life insurance policy is the insurer (insurance company) is the entity that will decide if the insured individual is worth the risk of paying out a death benefit upon the insured's death. The death benefit is the amount of insurance the insurer is required to pay upon the person's death. The insured pays premiums on a monthly, semiannual or annual basis for the insurance. Depending on the type of life insurance, the life insurance policy may last 10, 15 or 20 years, or even ...

Those persons who are interested to enter in to life insurance contract should follow the following procedures to make effective of life insurance contract. 1. Submit the proposal form The interested person can obtain the proposal form from the agent or insurance company. The person is requested to answer all the questions in the proposal form and give accurate and adequate information on all the material items. By this duly filled proposal form i.e. printed questionnaire paper, insurer receives detail information of the person such as name, address, occupation, date of birth, mode of payment etc. 2. Submit certificate of age The proposer has to mention the exact date of birth in the proposal. The risk of life insurance depends on age and the rate of premium is fixed according to it. For this purpose, proposer is obliged to submit any one of birth certificate, citizenship certificate, horoscope, school certificate. 3. Medical examination On the receipts of proposal along with birth cer...

1. General contract Life insurance contract is just like a general contract where offer and acceptance is of typical nature. Submission of proposal along with premium is an offer and dispatch of acceptance letter is the acceptance. Like a general contract, a minor cannot enter into a contract without guardian acceptance. Person of sound mind can enter in to a contract and contract with alien enemy is void. To make a contract, both parties must have free consent, legal objectives and no chances of coercion. Undue influence, fraud and misrepresentation. 2. Investments Insurer is liable to return premium along with some benefit to the insured person after the expire of time or the death of insured person. Thus premium paid by him regularly is like depositing money in a bank. In case of his premature death the fixed amount is paid to his nominee. 3. Conditional contract Life Insurance is a conditional contract because the insurer shall pay the insured sum only when the contract is contin...

Life insurance has changed with the time. There are basically three types of life insurance: 1. Term Life Insurance Term life insurance is the simplest form of life insurance. It is also the most inexpensive. It covers you for a specific term. During this period of time, your premiums do not change. Like all life insurance, term life insurance is an agreement between you and the life insurance company. You agree to pay a predetermined premium rate. Your life insurance company agrees to pay a sum to your benefic iary if you die—as long as you were still paying your premiums at the time of your death. With term life insurance, coverage pays off if needed during a specific time period. Term life insurance provides protection for a specific period of time - like 20 years. Because it does not accumulate cash value, Term insurance is inexpensive when compared to Whole life insurance (Permanent insur ance.) Term life insurance is in low initial premiums provide greater coverage for the money...

Life insurance may be defined as a contract where insurer pays certain sum of money either on the death of the insured or on the expire of the fixed period in consideration of premium undertaking. Life ins urance contract is not a contract of indemnity because life of a person cannot be measured in terms of money. In life insurance, insurer promises to pay certain sum of money to the insured person on the expire of policy or to the nominee on the death of insured which ever is earlier. As such life insurance provides financial protection against the risk of early death and at the same time life insurance is a good investment. Let us see an example, if an insured person dies before the maturity of the policy, the insurer provides financial protection to his dependents. But if the person lives up to the maturity of the policy, the insurer replaces the certain sum of money to him. So life insurance is no only a protection agai nst the uncertainty of life, life insurance is an investment t...

There are various insurance documents used for different types of insurance, which are essential for all classes of insurance business. The object of insurance documents is give to the insurer full particulars of the risk against which insurance protection is desired. It also provides evidence of contract into which the parties have entered. 1. Proposal Forms The company's printed proposal form is normally used for making an application for the required insurance cover. The proposal form contains questions designed to elicit all material information about the particular risk proposed for insurance. The number and nature of questions vary according to the particular class of insurance covered. In Marine Cargo Insurance, Insurance document is not the practice to use a proposal form, although sometimes it is usual to obtain a questionnaire or a declaration form duly completed. Proposal forms are used for hull insurance. In Fire Insurance, the practice varies among the companies, prop...

Insurance needs are a fact of life in both business and our personal affairs. Nearly everyone in the industrialized world carries some sort of insurance. Many people carry several different types of insurance. In some professions, insurance is a necessity. In cases of a mishap, or even deliberate harm, insurance can mean the difference between getting back on one's feet or never recovering. Health Care A major form of insurance coverage is health care insurance. Health care insurance covers treatment for illnesses and accidents. Many policies also cover preventative care. Health care coverage is designed to protect individuals against the excessively high costs of paying for treatment out of pocket. It is often covered by employers, but many individuals cover themselves. Medicare and Medicaid are federally issued health care coverage programs. Some states also have health care programs, more often for children. Nonetheless, nearly 46 million Americans had no health insurance covera...

In the history of mankind, the nature of insurance was found in the form of marine trade loans or carrier contracts. Evidence in the record of insurance was made in Babilognia and in India at early period. In the holy book of Hindus. “Rigbeda” the concept of “Yogakshema” is more or less akin to the well being and security of the people. The code of “Manu” had recognized for sharing the future losses. In ancient period, international trade was done through sea transit so the risk was attached on both ship and cargo. During that period traders were made an agreement among themselves under which the loss caused to any person was compensated by dividing the loss among themselves, named as “General Average”. At the same time “Battomry Bond” was developed to provide ship loan which will repay with interest, if the ship reaches destination safety. Yahoodies are the main contributor to develop modern marine insurance when they were forced to leave France. In same country commercial clients suc...

The fundamental principles of insurance are common in all types of insurance contracts with the exception of the principle of indemnity which is not applicable to life insurance contract. Following principles of insurance are applicable in insurance contracts. 1. Principle of utmost good-faith All the material, facts and information relating to proposed contract should supplied by each party to others in true and correct manner which helps to enter in to a contract and proves as a legality. Insurer and insured both are under an obligation to disclose relevant material information which may effect the decision of each other. All the insurance contract based upon mutual trust and confidence between the insurers and insured. Utmost good faith requires each party to tell others “The truth, the whole truth and nothing but the truth”. If at any time, it is found that the insured has closed some material facts, the contract of insurance becomes avoidab...

Insurance covers many risks and uncertainties in the world of business and act as a boon to the industrial or commercial concerns and general public. The following are some of the important services of insurance. Risk Transfer : Businessman can easily and conviently transfer the risk of loss of insurance. It also safeguard the interest of individual and public. Protection : Businessman do not have to worry about losses or damage when the risk of loss to their property is duly insured. They will receive compensation against actual loss their position becomes "as you were" even though the actual loss takes place. In life insurance , life policy give financial protection to the dependents to the extent of the assured who may be the only bread winner in the family. Assured Profit : An insured businessman or policy holders can enjoy normal expected profits eg. 15% or 20% margin of profit. Benefits to Consumers: As the property of the businessman is duly insured, and he can get...

Human beings, his family and properties are always exposed to different kinds of risks. Risk involve the losses. Insurance is a tool which reduces the cost of loss or effect of loss caused by variety of risk. It accumulates funds to meet individual losses. It is not device to prevent unwanted event of happening or cause of loss but protects them against that loss by compensating which as lost. The role and importance of insurance are discussed as follows: 1. Insurance provides security Insurance provides safety and security against the loss on a particular event. Life insurance provides security against death and old age sufferings. Fire insurance protects against loss due to fire while Marine insurance provides protection and safety against loss of ship and cargo. For personal accident and sickness insurance financial protection is given when the individual is unable to earn. In other insurance too, this security is provided against the loss at a given contingency. ...