A PROJECT REPORT ON BAJAJ ALLIANZ GENERAL INSURANCE CO.

LTD

SUBMITTED TO MRS. PARUL JHAJHARIA

SUBMITTED BY PRATYUSH KOHLI 108F31 SUMIT ARORA 108F33

ACKNOWLEDGEMENT
Any work of this magnitude requires the inputs, efforts and encouragement of the people from all sides. In compiling this project report, I have been fortunate enough to get active and kind cooperation from many people without whom my endeavors wouldnt have been a success. There is an old adage that says that you never really learn a project until you practice it. So, I would like to extend my deep gratitude and heartfelt thanks to our mentor MRS. PARUL JHANJARIA for extending their immense help to us in acquiring valuable knowledge on the subject for successful completion of the project.

INSURANCE

Insurance is not necessarily an investment from which one expects to get one's money back. Nor is it gambling. A gambler takes risks, while insurance offers protection against risks that already exist. Insurance is a way to share risk with others. Since ancient times, communities have pooled some of their resources to help individuals who suffer loss.

"Insurance is a contract between two parties whereby one party called insurer undertakes in exchange for a fixed sum called premiums, to pay the other party called insured a fixed amount of money on the happening of a certain event."

Insurance is a protection against financial loss arising on the happening of an unexpected event. Insurance companies collect premiums to provide for this protection. A loss is paid out of the premiums collected from the insuring public and the Insurance Companies act as trustees to the amount collected.

BAJAJ ALLIANZ GENERAL INSURANCE COMPANY

Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj Finserv Limited (recently demerged from Bajaj Auto Limited) and Allianz SE. Both enjoy a reputation of expertise, stability and strength. Bajaj Allianz General Insurance received the Insurance Regulatory and Development Authority (IRDA) certificate of Registration on 2nd May, 2001 to conduct General Insurance business (including Health Insurance business) in India. The Company has an authorized and paid up capital of Rs 110 crores. Bajaj Finserv Limited holds 74% and the remaining 26% is held by Allianz, SE. As on 31st March 2008, Bajaj Allianz General Insurance maintained its premier position in the industry by garnering a premium income of Rs. 2578 crore, achieving a growth of 43 % over the last year.Bajaj Allianz has made a profit before taxes of Rs. 167 crore and is the first company to cross the Rs.100 crores mark in profit after tax by generating Rs. 105 crores. In the first quarter of 2008-09, the company garnered a gross premium of Rs.733.53 crores against Rs.573.73 core last year for the same period registering a growth of 28%. Bajaj Allianz today has a countrywide network connected through the latest technology for quick communication and response in over 200 towns spread across the length and breadth of the country. From Surat to Siliguri and Jammu to Thiruvananthapuram, all the offices are interconnected with the Head Office at Pune.

VISION

To be the first choice insurer for customers To be the preferred employer for staff in the insurance industry. To be the number one insurer for creating shareholder value

MISSION
As a responsible, customer focused market leader, we will strive to understand the insurance needs of the consumers and translate it into affordable products that deliver value for money. A Partnership Based on Synergy Bajaj Allianz General Insurance offers technical excellence in all areas of General and Health Insurance as well as Risk Management. This partnership successfully combines Bajaj Finserv's in-depth understanding of the local market and extensive distribution network with the global experience and technical expertise of the Allianz Group. As a registered Indian Insurance Company and a capital base of Rs. 110 crores, the company is fully licensed to underwrite all lines of general insurance business including health insurance.

INDUSTRY AND PRODUCTS

Bajaj Allianz Life Insurance Company was the No1. Pvt. Sector Life Insurance co. for the FY 2005-06. With a pan India presence and over 900 + offices, Bajaj Allianz Life Insurance has already has a customer base of close to 2 million customers. Bajaj Allianz Life Insurance has developed insurance solutions that cater to every segment and age-income profiles. For companies it provides comprehensive 'Employee Benefit Solutions' (Group Term Life, EDLI, Gratuity, Super-annotation, Key man Insurance and more); for the individual Invest Gain (a unique life insurance plan where sustenance of income is combined in the same plan that also pays a lump sum), Cash Gain (Money Back), Child Gain (Children's plan), Risk Care (Pure Term), Lifetime Care (whole life), Term Care (term with return of premium), Saran Visitant (Retirement Plan), Protector (Mortgage term insurance plan), New Unit Gain Super, New Family Gain, New Unit Gain Plus, New Unit Gain, New Unit Gain Premier, New Unit Gain Easy Pension Plus, New Unit Gain Easy Pension Plus single premium. Currently Bajaj Allianz has a

product portfolio of 30 products and more need-based products are in the pipeline. It has followed Bancassurance Model which is the term used to describe the sale of insurance products in a Bank. The word is a combination of "banque or bank" and "assurance" signifying that both banking and insurance are provided by the same corporate entity. The usage of the word picked up as banks and insurance companies merged and banks sought to provide insurance, especially in markets that have been liberalized recently. It is a controversial idea, and many feel it gives banks too great a control over the financial industry.

SWOT ANALYSIS
STRENGHTS
1. Strong Brand Image 2. Dedicated sales team 3. Value added services. 4. Bajaj Allianz Life Insurance is the first large pvt. sector life insurance co. with a pan India network and strong retail focus to declare substantial profits for the financial year.
5.

Bajaj Allianz Life is most profitable pvt. life insurer for 06-07.

6. Largest distribution network to reach the customers across the country with 2, 13,000 agents, 900 offices in 840 towns, 200 corporate agents & Banc assurance partners. 7. The Company announced a healthy profit of Rs 63 cr. for the FY 2006-07 as per the audited results. Excluding Participating funds profit the profit stands at Rs 54

Cr.10.Building on number one position in previous FY 05-06 in new business the co. is now no.1 in the Pvt. Sector in issuing largest number of Policies and becoming a truly mass retail company.

WEAKNESSES
1. They have to compete with the Government Companies like LIC and UTI who has been very established in this field. So they will have to attain the same trust of the public as it is in case of LIC and UTI. 2. Weak Customer Relations Management 3. Centralized Structure

OPPORTUNITIES
1. Large Untapped Market. 2. Distinguishable product (like Parivar Account).

THREATS
1. Presence of very strong competitors. 2. Aggressive marketing by competitors. 3. Various investment Schemes with high returns.

HR SYSTEMS
BajaJ Allianz has:

A Management style which is participative and consensus based. A Work culture which is Open, informal & collaborative. A Communication style, which is open and not bound by traditional hierarchies. A Compensation & Benefits package which rewards and recognizes the best.

IMPORTANCE OF THE HR DEPARTMENT IN INSURANCE COMPANIES:

People are the heart and soul of any business and the insurance industry relies on the dedication, creativity and commitment of its people to enable it to thrive and grow. HR teams provide organizations with the expertise they need to recruit and retain the very best people, dealing with matters such as salaries, pensions and benefits; training and development; industrial and staff relations; counseling and welfare; and health and safety. Increasing emphasis on diversity, performance management, learning and development and organizational change make this a challenging and intellectually stimulating area of work

THE 5 PS MODEL OF SHRM

PHILOSOPHY
o Statements of how organization values and treats employees; essentially culture of the organization

POLICIES

o Expressions of shared values and guidelines for action on employee-related business issues

PROGRAMS o Coordinated and strategized approaches to initiate, disseminate, and sustain strategic organizational change efforts necessitated by strategic business needs

PRACTICES
o HR practices motivate behaviors that allow individuals to assume roles consistent with organizations strategic objectives

THREE CATEGORIES OF ROLES:

o Leadership o Managerial o Operational

 PROCESSES

o Continuum of participation by all employees in specific activities to facilitate formulation and implementation of other activities o Successful SHRM efforts begin with identification of strategic needs o Employee participation is critical to linking strategy and HR practices o Strategic HR depends on systematic and analytical mindset o Corporate HR departments can have impact on organizations efforts to launch strategic initiatives

REFERENCES 1 . BHUMIKA ISRANI ASST MANAGER HR DELHI NCR BAJAJ ALLIANZ LIFE INSURANCE CO. LTD 2 . www.bajajallianzlife.com