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CONTENTS
CHAPTER PAGE
PARTICULARS
NO. NO.
TITLE PAGE i
CERTIFICATE ii
ABSTRACT iii-viii
ACKNOWLEDGEMENTS ix-x
CONTENTS xi-xiv
LIST OF TABLES xv-xviii
LIST OF FIGURES xix
I INTRODUCTION 1-30

1.1 Introduction 1
1.2 Retrospective of Insurance 4
1.2.1 Pre- Nationalisation 5
1.2.2 Nationalisation and Pre-Liberalisation 8
1.2.2.1 Malhotra Committee Recommendations 11
1.2.3 Post –Liberalisation 12
1.2.3.1 Regulatory Legal Regime -Insurance Regulatory 12
and Development Authority Act, (IRDA) 1999
1.2.3.2 Insurance Regulatory and Development Authority 13
1.3 Marketing of Insurance Services 17
1.4 Life Insurance Scenario in India Post – 21
Liberalisation Era
1.5 Life Insurance Scenario in Punjab 27
1.6 Rationale of Study 28
1.7 Organisation of Study 29
II REVIEW OF LITERATURE 31-53

III RESEARCH METHODOLOGY 54-63

3.1 Statement of the Problem 54

3.2 Objectives of the Study 55
3.3 Research Design 55
3.4 Hypotheses of Study 58
3.5 Data Screening 59
3.6 Data Analysis & Techniques 60
IV ANALYSIS OF POLICYHOLDERS’ PERSPECTIVE 64-121

4.1 Profile of respondents 64

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4.2 Factors Influencing the Purchase Decision of Life 79

Insurance Policy
4.2.1 Naming and Description of Factors 88
4.2.1.1 Product 88
4.2.1.2 Pricing 89
4.2.1.3 Agent’s Knowledge 89
4.2.1.4 Service 90
4.2.1.5 Place 90
4.2.1.6 Promotion 90
4.3 Analysis of Factors Influencing the purchase 91
decision of Insurance Products
4.4 Satisfaction with Marketing Mix Strategies of the 92
Companies
4.4.1 Product mix 93
4.4.2 Price mix 95
4.4.3 Promotion mix 96
4.4.4 Place mix 98
4.5 Customer Relationship Management Strategies of 99
Insurance Companies
4.6 Naming and Description of the factors of 109
Customer Relationship Management
4.7 Analysis of Factors of Customer Relationship 111
Management
4.8 Lapsation of policy 112
4.9 Awareness and Satisfaction regarding Grievance 113
Mechanism
4.10 Awareness and Satisfaction with role of IRDAI 116
V ANALYSIS OF AGENTS’ PERSPECTIVE 122-152

5.1 Profile of agents 122

5.2 Agents’ satisfaction with Marketing Mix 130
Strategies of Insurance Companies
5.3 Agents’ perception towards Customer 140
Relationship Management
5.4 Satisfaction with role and provisions of IRDAI 142
5.5 Satisfaction with information provided by 146
company
5.6 Satisfaction with training programs 148
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5.7 Satisfaction with assistance provided by company 150

5.8 Satisfaction with Remuneration 152
5.9 Perception towards miscellaneous matter 154
5.10 Perceived problems in life insurance business 155
VI ANALYSIS OF MANAGERIAL STAFF’S 160-194
PERSPECTIVE

6.1 Profile of respondents 160

6.2 Managers’ Satisfaction with Marketing Mix 162
Strategies of Insurance Companies
6.2.1 Product mix 162
6.2.2 Price mix 164
6.2.3 Promotion mix 166
6.2.4 Place mix 167
6.3 Managers’ perception towards Customer 173
Relationship Management
6.4 Satisfaction with role of IRDAI 176
6.5 Satisfaction with practices of company to increase 178
insurance coverage
6.6 Comparative analysis of perceived satisfaction 181
with the Marketing Mix Strategies of the
insurance companies
6.6.1 Perceived satisfaction with the product mix strategies 181
6.6.2 Perceived satisfaction with the price mix strategies 183
6.6.3 Perceived satisfaction with the promotion mix 186
strategies
6.6.4 Perceived satisfaction with the place mix strategies of 188
insurance companies
6.7 Comparative Analysis of Perceived Satisfaction with 190
the CRM Practices of the Insurance Companies
VII FINDINGS, CONCLUSIONS AND 195-223
RECOMMENDATIONS

7.1 Development of Life Insurance Sector 196

7.2 Summary of Findings of study 197
7.2.1 Policyholders’ perspective 197
7.2.1.1 Profile of policyholders 197
7.2.1.2 Factors influencing purchase decision of life 199
insurance policy
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7.2.1.3 Satisfaction with marketing mix strategies 200

7.2.1.4 Satisfaction with CRM Practices 201
7.2.1.5 Lapsation of policy 202
7.2.1.6 Grievance redressal mechanism 202
7.2.1.7 Awareness regarding IRDAI regulations 203
7.2.1.8 Satisfaction with role of IRDAI 203
7.2.2 Agents’ perspective 203
7.2.2.1 Profile of agents 203
7.2.2.2 Satisfaction with marketing mix strategies 204
7.2.2.3 Agents’ perspective towards CRM Practices 206
7.2.2.4 Satisfaction with role and provisions of IRDAI 206
7.2.2.5 Satisfaction with the provision of information 207
7.2.2.6 Satisfaction with training programs 207
7.2.2.7 Satisfaction with remuneration and miscellaneous 208
matters
7.2.2.8 Perception of agents towards life insurance 208
business in India:
7.2.3 Managers’ Perspective 209
7.2.3.1 Profile of respondents 209
7.2.3.2 Satisfaction with marketing mix strategies 209
7.2.3.3 Perception towards customer relationship 210
management practices
7.2.4.4 Satisfaction with role of IRDAI 211
7.2.3.5 Satisfaction with practices performed by 211
companies
7.2.4 Comparative analysis of perceived satisfaction of 212
policyholders, agents and managers
7.3 Conclusions 213
7.4 Recommendations 216
7.5 Limitations of study 222
7.6 Scope for future research 223
Bibliography 224-232
Annexure I Questionnaire for policyholder 233-242
Annexure II Questionnaire for Agent 243-252
Annexure III Questionnaire for Managerial staff 253-259
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LIST OF TABLES
TABLE TITLE PAGE
NO. NO.
1.1 International Comparison of Insurance Penetration 23
1.2 International Comparison of Insurance Density 25
1.3 Total premium underwritten and number of new policies 26
issued by life insurance companies in India
1.4 Number of life insurance offices and agents 27
1.5 Life Insurance scenario in Punjab 28
4.1 Gender wise age profile of respondents 64
4.2 Education profile wise occupation profile of respondents 65
4.3 Locational, marital and family structure profile of 66
respondents
4.4 Income profile of respondents 67
4.5 Investment options used by the respondents 67
4.6 Perceived importance of life insurance 68
4.7 Sum assured by the policyholders 69
4.8 Cross tabulation between sum assured and adequacy of 70
risk covered
4.9 Reason for low risk coverage 71
4.10 Purpose of buying life insurance plan 72
4.11 Policyholder’s awareness about different insurance plans 73
4.12 Company type policy ownership 73
4.13 Source of information about insurance plan 74
4.14 Crosstab between prospects given by the company and 74
prospectus read by the company
4.15 Source of purchase of insurance product 75
4.16 Periodicity of premium payment 75
4.17 Method of payment of premium 77
4.18 Descriptive statistics of attributes influenced the buying 78
decision of policyholders
4.19 KMO and Bartlett’s Test 80
4.20 Communality table 81
4.21 Total Variance Explained 84
4.22 Pattern Matrix 86
4.23 Descriptive statistics of Factors influencing the purchase 92
decision of Insurance product
4.24 Product mix of insurance company as perceived by the 94
policyholders
4.25 Price mix of insurance company as perceived by the 96
policyholders
4.26 Promotion mix of insurance company as perceived by the 97
policy holders
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4.27 Place mix of insurance company as perceived by the 99

policyholders
4.28 KMO and Bartlett’s test of Sphericity 101
4.29 Communality table 102
4.30 Total Variance explained in the model 104
4.31 Rotated Component Matrix 107
4.32 Descriptive statistics of Factor of CRM 111
4.33 Have your policy ever lapsed 112
4.34 Reasons of lapsing the policy 112
4.35 Awareness of policyholders regarding grievance redressal 114
mechanism
4.36 Any grievance of policyholders with insurance company 114
4.37 Grievance registered for redressal with different agencies 115
4.38 Satisfaction with the redressal of grievance 116
4.39 Awareness about the regulations of IRDAI 118
4.40 Satisfaction with the role of IRDAI 120
5.1 Gender of the agent 122
5.2 Age profile of agents 123
5.3 Education profile of agents 123
5.4 Work profile of agents 124
5.5 Other occupation in case of part time 124
5.6 Residence profile of agents 125
5.7 Agents associated with company type 125
5.8 Most influential company attributes to associate with the 127
company
5.9 Comparative analysis of influential company attributes 129
scores between public and private sector associated agents
5.10 Agent’s perceived satisfaction with product attributes 131
5.11 Agent’s perceived satisfaction with price attributes 132
5.12 Agent’s perceived satisfaction with promotion attributes 134
5.13 Agent’s perceived satisfaction with place attributes 135
5.14 Agent’s perceived overall satisfaction with marketing mix 136
5.15 Comparative analysis of agents of public and private 137
sector towards perceived overall satisfaction with
marketing mix
5.16 Attributes having influence on customers’ decision 138
making
5.17 Comparative analysis of agents of public and private 139
sector towards attributes
5.18 Descriptive statistics of factors of CRM 141
5.19 Comparative analysis of perception of agents of public 142
and private sector towards factors of CRM
5.20 Satisfaction with the role of IRDAI 143
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5.21 Overall satisfaction with the role of IRDAI 144

5.22 Perceived satisfaction of insurance agents with the 145
provisions of IRDAI regarding agents
5.23 Overall perceived satisfaction of insurance agents with 144
the provisions of IRDAI regarding intermediaries/agents
5.24 Agents’ perceived satisfaction with the information 146
provided by their insurance company
5.25 Comparative analysis of agents’ perceived satisfaction 147
with the information provided by their insurance company
5.26 Perceived satisfaction of agents with the training 148
programs
5.27 Comparative analysis of agents’ perceived satisfaction 149
with the variables of training programs
5.28 Perceived satisfaction of agents with the assistance 150
provided by the companies
5.29 Comparative analysis of agents’ perceived satisfaction 151
with the assistance provided by their companies
5.30 Perceived satisfaction of agents with elements of income 152
5.31 Company wise comparison of perceived satisfaction of 153
agents with elements of income
5.32 Perception of agents towards miscellaneous matters 154
5.33 Perception of agents towards life insurance business 156
5.34 Descriptive statistics of problems of insurance sector 157
5.35 Comparative analysis of problems of insurance sector 159
6.1 Gender profile and company profile of respondents 160
6.2 Work experience of employees surveyed 161
6.3 Managers’ perceived satisfaction with product attributes 164
6.4 Managers’ perceived satisfaction with price attributes 165
6.5 Managers’ perceived satisfaction with promotion 167
attributes
6.6 Managers’ perceived satisfaction with place attributes 168
6.7 Overall satisfaction with components of marketing mix 169
6.8 Comparative analysis of perceived satisfaction with the 170
marketing mix strategies
6.9 Attributes having influence on customer’s decision 171
making
6.10 Comparative analysis of employees’ perception towards 173
attributes
6.11 Descriptive statistics of factors of CRM 174
6.12 Comparative analysis of managers’ perception sector 176
towards factors of CRM
6.13 Satisfaction with the role of IRDAI 177
6.14 Comparative analysis of specific practices performed by 179
public and private sector companies
6.15 ANOVA table exhibiting the comparative analysis of 182
perceived satisfaction with product mix strategies
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6.16 R.E.G.W.F post hoc test of product mix 182

6.17 ANOVA table exhibiting the comparative analysis of 184
perceived satisfaction with price mix strategies
6.18 R.E.G.W.F post hoc test of price mix 185
6.19 ANOVA table exhibiting the comparative analysis of 186
perceived satisfaction with promotion mix strategies
6.20 R.E.G.W.F post hoc test of promotion mix 187
6.21 ANOVA table exhibiting the comparative analysis of 188
perceived satisfaction with place mix strategies
6.22 R.E.G.W.F post hoc test of place mix 189
6.23 ANOVA table exhibiting the comparative analysis of 191
perceived satisfaction with CRM practices
6.24 R.E.G.W.F post hoc test of components of CRM 192
6.25 Comparative analysis of Company’s capabilities in 194
holding their customers because of CRM practices
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LIST OF FIGURES

FIGURE TITLE PAGE

NO. NO.

1.1 Life Insurance Penetration in India 22

1.2 Life Insurance Density in India 24
4.1 Sum assured by the policyholders 69

4.2 Periodicity of payment of premium 76

4.3 Methods of payment of premium 77

6.1 Work experience of employees 162

6.2 Mean plots of satisfaction with product mix strategy 183

6.3 Mean plots of satisfaction with price mix strategy 185

6.4 Mean plots of satisfaction with promotion mix strategy 187

6.5 Mean plots of satisfaction with place mix strategy 189

6.6 Mean plots of components of CRM 193