internship training report

INTERNSHIP TRAINING REPORT

ON

RECRUITMENT AND SELECTION OF LIFE INSURANCE AGENT

In the partial fulfillment of the Degree of Bachelor of Business Administration Session (2008-2011)

BRANCH: KANKURGACHI (KOLKATA)

UNDER: SANJAY BYAHUT (Sales Manager)

INTERNSHIP PERIOD: 1st March to 6th April

1 ISB&M (International School Of Business & Media)

Submitted by

Sanu Gupta

BBA 5thSemester

(2008-2011)

Submitted to

Dr. Tanushree Chakraborty

Professor

ISB&M- Kolkata

PREFACE

Practical training is an important part of management courses. Theoretical

studies are not sufficient to get into corporate world and understand the

complexities of large-scale organizations.

Practical training exposes us to real practices of management in the

organization. It also exposes students to the treasures of experience, knowledge

and leaning which prerequisites of making a successful career are.

I deem it privilege to have undergone this project. I acknowledge that the

practical training that I got from this cannot be gained otherwise. I found my

project very interesting and challenging.

Sanu Gupta


STUDENT DECLARATION

This is to certify that the project report entitled “The process of recruitment and

selection of Life insurance agent” submitted for the degree of BBA for

International School of Business & Media, Affiliated to Punjab Technical

University. It’s a bonafied research work carried by me, Sanu Gupta, a student

of International School of Business & Media- Kolkata.

The assistance and help received during the course of investigation have been fully acknowledged.

Sanu Gupta


BRIEF SUMMARY

Introduction: A general term Insurance is related to service sector. Insurance is concerned with the protection of economic value of assets. For example in case of a factory or a cow, the product generated by it is sold and income is generated. In this project the Metropolitan Life Insurance Company or MetLife for short is one of the popular sector insurance sectors. The analysis of MetLife is taken from different sectors. For creating strong relationship and for a success full business every insurance company required financial planner. Objective of the study:

How to recruit agents MetLife.

To understand the process of recruitment and selection of agent in life insurance.

Why people are not willing to work as an agent in life insurance sector especially with private companies.

Need of the study: The study is undertaken to know how many people are interested to work as life insurance agent in MetLife and their thinking about the MetLife. or about private insurance company.

Conclusion: In India, there is throat cut competition in the market of life insurance that brand service which adopt new strategies for sales. I concluding the whole story it can be said that people are much more aware about the aspects of life insurance and also have knowledge about the role and act of agent but mostly people unwilling to work as life insurance agent and mostly people prefer to work with LIC because it is a semi government corporation.


TABLE OF CONTENTS

CHAPTER NO. PARTICULARS PAGE NO.

Chapter 1 Industry Profile 6-16

Chapter 2 Company Profile 17-32

Chapter 3Introduction of Recruitment

and Selection Process of Agents

33-50

Chapter 4 Objectives of the Study and Research Methodology

51-53

Chapter 5 Data Presentation and Interpretation

54-59

Chapter 6 Limitations and Findings 60

Chapter 7 Conclusion and Suggestions 61-62

Chapter 8 Bibliography 63


INDUSTRY PROFILE


WHAT IS INSURANCE

The business of insurance is related to the protection of the ECONOMIC

VALUES OF ASSETS. Every asset has a value. The asset would have been

created through the efforts of the owner. The asset would have been created

through the efforts of the owner. The asset is valuable to the owner, because he

expects to get some benefits from it. It is a benefit because it meets some of his

needs. The benefit may be an income or in some other form. In the case of a

factory or a cow, the product generated by it is sold and income is generated. In

the case of a motor car, it provides comfort and convenience in transportation.

There is no direct income. Both are assets and provide benefits.

Every asset is expected to last for a certain period of time during which it will provide the benefits. After that, the benefit may not be available.

There is a life-time for a machine in factory or a cow or a motor car. None of

them will last forever. The owner is aware of this and he can so manage his

affairs that by the end of that period or life-time, a substitute is made available.

Thus he makes sure that the benefit is not lost. However, the asset may get lost

earlier. An accident or some other unfortunate event may destroy it or make it

incapable of giving the benefits. An epidemic may kill the cow suddenly. In that

case, the owner and those enjoying the benefits therefore, would be deprived of

the benefits. The planned substitute would not have been ready. There is an

adverse or unpleasant situation. Insurance is a mechanism that helps to reduce

the effects of such adverse situations. It promises to pay to the owner or

beneficiary of the asset, a certain sum if the loss occurs.


HISTORY OF INSURANCE

Insurance has been known to exist in some form or other since 3000 BC. The Chinese traders, travelling treacherous river rapids would distribute their goods among several vessels, so that the loss from any one vessel being lost would be partial and shared, and not total. The Babylonian traders would agree to pay additional sums to lenders, as the price for writing off the loans, in case of the shipment being stolen. The inhabitants of Rhodes adopted the principle of general average, whereby, if goods are shipped together, the owners would bear the losses in proportion, if loss occurs, due to jettisoning during distress. (Captains of ships caught in storms, would throw away some of the cargo to reduce the weight and restore balance. Such throwing away is called jettisoning.) The Greeks had started benevolent societies in the late 7th century AD, to take care of the funeral and families of members who died. The great fire of London in 1666,in which more than 13000 house were lost, gave a boost to insurance and the first fire insurance company, called the fire office, was started in 1680.

The origins of insurance business as in vogue at present, is traced to the Lloyd’s Coffee House in London. Traders, who used to gather in the Lloyd’s coffee house in London, agreed to share the losses to their goods while being carried by ships. The losses used to occur because of pirates who robbed on the high seas because of bad weather spoiling the goods or sinking the ship. In India, insurance began in 1818 with life insurance being transacted by an English company, the Oriental Life Insurance Co. in 1870 in Mumbai. This was followed by the Bharat Insurance co. in 1896 in Delhi, the Empire of India in 1897 in Mumbai, The United India in Chennai, the National, the National Indian and Hindustan Cooperative in Kolkata.

Later, were established the cooperative Assurance in Lahore, the Bombay Life (originally called the swadeshi life), the India Mercantile, the new India and the Jupiter in Mumbai and the Lakshmi in New Delhi. These were all Indian companies started as a result of the swadeshi movement in the early 1900s. By the year 1956, when life insurance business was nationalized and the life Insurance Corporation of India (LIC) was formed on1st September 1956, there were 170 companies and 75 provident fund societies transacting life business in India. After the amendments to the relevant laws in 1999, the L.I.C. did not have the exclusive privilege of doing life insurance business in India. By 31.8.2007, sixteen new life insurers had been registered and were transacting life insurance business in India.


HISTORY OF INSURANCE IN INDIA

Some of the important milestones in the life insurance business in India are:

1912 - The Indian Life Assurance Companies Act enacted as the first statute to regulate the life insurance business.

1928 - The Indian Insurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance businesses.

1938 - Earlier legislation consolidated and amended to by the Insurance Act with the objective of protecting the interests of the insuring public.

1956 - 245 Indian and foreign insurers and provident societies taken over by the central government and nationalized. LIC formed by an Act of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5 Crores from the Government of India.

The General insurance business in India, on the other hand, can trace its roots to the Triton Insurance Company Ltd., the first general insurance company established in the year 1850 in Calcutta by the British.


LIFE INSURANCE A BASIC NEED

Life insurance is a contract providing for payment of a sum of money to the person assured or, failing him, to the person entitled to receive the same, on the happening of certain event.

A family is generally dependent for its food, clothing and shelter on the income brought in at regular intervals by the bread winner of the family. So long as the he lives and the income is received steadily, that family is secure; but should death suddenly intervene the family may be left in a very difficult situation and sometimes, in stark poverty.

Uncertainty of death is inherent in human life. It is this uncertainty that is risk, which gives rise to the necessity for some form of protection against the financial loss arising from death; insurance substitutes this uncertainty by certainty.

Few Advantages of Life Insurance.

1. It is superior to an ordinary savings plans:

This is so because unlike other saving plans, it affords full protection against risk of death. In case of death, the full sum assured is made available under a life assurance policy; whereas under other savings schemes the total accumulated savings alone will be available. The latter will be considerably less than the sum assured, if death occurs during early years.

2. Insurance encourages and forces thrift:

A savings deposit can be too easily withdrawn. Many may not be able to resist the temptation of using the balance for some less worthy purpose. On the other hand, the payment of life insurance premiums becomes a habit and comes to be viewed with the same seriousness as the payment of interest on a mortgage. Thus insurance, in effect brings about compulsory saving.

3. Easy settlement and protection against creditors:

The life assured can name a person or persons to whom the policy moneys would be payable in the event of his death. The proceeds of a life insurance policy can be protected against. The claims of the creditors of the life assured by effecting a valid assignment of the policy. A married women’s property act policy constitutes a trust in favour of the wife and children and no separate assignment is necessary. The beneficiaries are fully protected from creditors except to the extent of any interest in the policy retained by the assured.

(Contd.)


4. Administering the legacy for beneficiaries:

It often happens that a provision which a husband or father has made through insurance is quickly lost through speculative or unwise investment or by unnecessary expenditure on luxuries. These contingencies can be provided against in the case of insurance. The policyholder can arrange that in the in the event of his death the beneficiary should receive, instead of a single sum (a). Payment of the net claim amount by equal instalments over a specified period of years, or (b). Payment of the claim amount by smaller monthly instalments over the selected period followed by a lump sum at the end thereof.

5. Ready marketability and suitability for quick borrowings:

After an initial period, if the policy holder finds himself unable to continue payment of premiums he can surrender the policy for a cash sum. Alternatively he can tide over a temporary difficulty by taking loan on the sole security of the policy without delay. Further a life insurance policy is sometimes acceptable as security for a commercial loan.

6. Tax relief:

For computing income tax (especially in India the Indian income tax act) follows deduction from income tax payable, a certain percentage of a portion of the taxable income of individuals which is diverted to payment of insurance premiums. When this tax relief is taken into account it will be found that the assured is n effect paying a lower premium for his insurance.


HOW INSURANCE WORKS

The mechanism of insurance is very simple. People who are exposed to the same risks come together and agree that, if any one of the members suffers a loss, the others will share the loss and make good to the person who lost. All people who send goods by ship are exposed to the same risk related to water damage, ship sinking, piracy, etc. those owning factories are not exposed to these risks, but they are exposed to different kinds of risks like, fire, hailstorms, earthquakes, lightening, burglary, etc. like this, different kinds of risks can be identified and separate groups, made including those exposed to such risks. By this method, the risk is spread among the community and the likely big impact on one is reduced to smaller manageable impacts on all.

If a Jumbo Jet with more than 350 passenger’s crashes, the loss would run into several Crores of rupees. No airline would be able to bear such a loss. It is unlikely that many Jumbo Jets will crash at the same time. If 100 airline companies flying Jumbo Jets, come together into an insurance pool, whenever one of the jumbo jets in the pool crashes, the loss to be borne by each airline would come down to a few Lakhs of rupees. Thus, insurance is a business ‘sharing’.


ROLE OF INSURANCE IN ECONOMIC DEVELOPMENT

For economic development, investments are necessary. Investments are made out of savings. A life insurance company is a major instrument for the mobilization of savings of people, particularly from the middle and lower income groups. These savings are channelled into investments for economic growth.

An insurance company’s strength lies in the fact that huge amounts come by way of premiums. Every premium represents a risk that is covered by that premium. In effect, therefore, these vast amounts represent pooling of risks. The funds are collected and held in trust for the benefit of the policy holders.

The management of insurance companies is required to keep this aspect in mind and make all its decisions in ways that benefit the community. This applies also to its investments. This is why successful insurance companies would not be found investing in speculative ventures. Their investments benefit the society at large.

The system of insurance provides numerous direct and indirect benefits to the individual and his family as well as to industry and commerce and to the community and the nation as a whole. Those who insure, both individuals and corporate, are directly benefited because they are protected from the consequences of the loss that may be caused by the accident or fortuitous event. Insurance, thus, in a sense protects the capital in industry and releases the capital for further expansion and development of business and industry.

The very existence of risk that is, uncertainty concerning the future, is a severe handicaps in economic activities. Insurance removes the fear, worry and anxiety associated with this future uncertainty and thus encourages free investment of capital in business enterprises and promotes efficient use of existing resources.

(Contd.)


Thus insurance encourages commercial and industrial development and there by contributes to a vigorous economy and increased national productivity.

Present day organization of industry, commerce and trade depend entirely on insurance for their operation, banks and financial institutions lend money to industrial and commercial undertakings only on the basis of the collateral security of insurance. No bank or financial institution would advance loans on property unless it is insured against loss or damage by insurable perils.

Insurers are closely associated with several agencies and institutions engaged in fire loss prevention, cargo loss prevention, cargo loss prevention, industrial safety and road safety. Before acceptance of a risk, insurers arrange survey and inspection of the property to be insured, by qualified engineers and other experts.

The object of these surveys is not only to assess the risk for rating purposes but also to suggest and recommend to the insured, various improvements in the risk, which will attract lower rates of premium and what is more important , reduce the loss potential. For example, burglary surveyors make recommendation in regard to security measures such as better locking system, appointment of Watchman, etc. Engineering surveys play a most useful part in accident prevention as valuable technical advice is provided in respect of plant and machinery.

Insurance ranks with export trade, shipping and banking services as earner of foreign exchange to the country. It helps to earn foreign exchange and represent invisible exports.


LIST OF INSURANCE COMPANIES LISTED INDIFFERENT YEARS

List of Insurance Companies

Sl. No.

Registration Number

Date of Reg.

Name of the Company

1 101 23/10/2000 HDFC Standard Life Insurance Company Limited

2 102 23/10/2000 Royal Sundaram Alliance Insurance Company Limited

3 103 23/10/2000 Reliance General Insurance Company Limited

4 104 15/11/2000 Max New York Life Insurance Company Limited

5 105 24/11/2000 ICICI Prudential Life Insurance Company Limited

6 106 04/12/2000 IFFCO Tokio General Insurance Company Limited

7 107 10/01/2001 Kotak Mahindra Old Mutual Life Insurance Limited

8 108 22/01/2001 TATA AIG General Insurance Company Limited

9 109 31/01/2001 Birla Sun Life Insurance Company Limited

10 110 12/02/2001 Tata AIG Life Insurance Company Limited

11 111 30/03/2001 SBI Life Insurance Company Limited

12 113 02/05/2001 Bajaj Allianz General Insurance Company Limited

13 114 02/08/2001 ING Vysya Life Insurance Company Private Limited

14 115 03/08/2001 ICICI Lombard General Insurance Company Limited

15 116 03/08/2001 Bajaj Allianz Life Insurance Company Limited

16 117 06/08/2001 MetLife India Insurance Company Limited

17 121 03/01/2002 Reliance Life Insurance Company Limited

18 122 15/05/2002 Aviva Life Insurance Company India Private Limited

19 127 06/02/2004 Sahara India Insurance Company Limited

20 128 17/11/2005 Shriram Life Insurance Company Limited

21 130 14/07/2006 Bharti AXA Life Insurance Company Limited

22 131 03/08/2007 Apollo DKV Insurance Company Limited

23 132 04/09/2007 Future Generali India Insurance Company Limited

24 133 04/09/2007 Future Generali India Life Insurance Company Limited

25 134 16/11/2007 Universal Sompo General Insurance Company Limited

26 135 19/12/2007 IDBI Fortis Life Insurance Company Limited

27 136 08/05/2008 Canara HSBC Oriental Bank of Commerce Life Insurance Company Limited

28 138 27/06/2008 Aegon Religare Life Insurance Company Limited

29 140 27/06/2008 DLF Pramerica Life Insurance Company Limited

(Contd.)


List of General Insurance Companies

Sl. No.

Registration Number

Date of Reg.

Name of the Company

1 123 15/07/2002 Cholamandalam General Insurance Company Limited

2 124 27/08/2002 Export Credit Guarantee Corporation Limited

3 125 27/08/2002 HDFC-Chubb General Insurance Company Limited

4 139 27/06/2008 Bharti AXA General Insurance Company Limited

5 141 15/12/2008 Raheja QBE General Insurance Company Limited


COMPANY PROFILE


INTRODUCTION OF METLIFE INC.

MetLife, Inc. is the holding corporation for the Metropolitan Life Insurance Company or MetLife for short. The firm was founded on March 24, 1868. For most of its life the company was a mutual organization, but it went public in 2000.

MetLife is the largest life insurer in the United States, with more than $3.3 trillion of life insurance in force. A leader in savings and retirement products and services for individuals, small business, and large institutions, MetLife serves 90 of the largest Fortune 100 companies.

The company is headquartered at 1095 Avenue of the Americas in Midtown Manhattan, New York City, though it retains some executive offices and its board room in the MetLife Building, which it sold in 2005.

The MetLife companies offer life insurance, annuities, auto and home insurance, retail banking and other financial services to individuals, as well as group insurance and retirement & savings products and services to corporations and other institutions. For more information, please visit www.metlife.com.


http://www.metlife.com/

INTRODUCTION OF METLIFE (INDIA)

MetLife India Insurance Company Limited (MetLife) is an affiliate of MetLife, Inc. and was incorporated as a joint venture between MetLife International Holdings, Inc., The Jammu and Kashmir Bank, M. Pallonji and Co. Private Limited and other private investors. MetLife is one of the fastest growing life insurance companies in the country. It serves its customers by offering a range of innovative products to individuals and group customers at more than 600 locations through its bank partners and company-owned offices. MetLife has more than 50,000 Financial Advisors, who help customers achieve peace of mind across the length and breadth of the country.

MetLife, Inc., through its affiliates, reaches more than 70 million customers in the Americas, Asia Pacific and Europe. Affiliated companies, outside of India, include the number one life insurer in the United States (based on life insurance enforce), with over 140 years of experience and relationships with more than 90 of the top one hundred FORTUNE 500® companies. The MetLife companies offer life insurance, annuities, automobile and home insurance, retail banking and other financial services to individuals, as well as group insurance, reinsurance and retirement and savings products and services to corporations and other institutions. For more information, please visit www.metlife.co.in.


http://www.metlife.co.in/

METLIFE AND THE ENVIRONMENT

As an industry leader and a growing, global enterprise, MetLife has committed to driving efforts that address sustainability, reduce our carbon footprint and invest in ventures that will have a positive impact on the environment. As our business is built on promises, we recognize the tremendous importance of making yet another promise for the future by ensuring our world remains a healthy and vibrant place for the many generations to come through our businesses, our associates and our business partners, we can and will make a difference by contributing to a growing, global effort that will benefit everyone today and in the future.


ETHICS AND INTEGRITY

For more than a century, MetLife has built a reputation as a company that believes in fair dealing, integrity, and trustworthiness. We firmly believe that adherence to the highest standards of ethical conduct is the only acceptable way of doing business and is the personal responsibility of every one of our associates. The company's well-known name and good reputation are reinforced by our pledge to deliver value and world class service to all who do business with us, always keeping in mind what is best for our customers.

The importance of ethics and compliance to the Company is demonstrated by the Company’s extensive efforts and resources directed to this area. We are committed to our compliance vision of having MetLife be the world's most trusted company.

Supporting these efforts are the MetLife core values of integrity and honesty, the fundamental building blocks of our long and successful history, that shape the way we do business. These values are central to our efforts to achieve the MetLife vision — to build financial freedom for everyone — and emphasize our outward focus on customers and their needs. We recognize that our ongoing success will spring from these values and, as we look to the future, we remain committed to the highest standards of ethics, integrity and trustworthiness, while continuing to pursue a strategy of building financial freedom for everyone. This defines who we are.


COMPLIANCE AND FRAUD HOTLINE

MetLife is committed to the highest standards of business conduct and expects the same from all people with whom we interact. MetLife has implemented a program aimed at deterring, detecting, investigating and prosecuting insurance fraud.

Fraud is a major concern of everyone in the insurance industry and is of increasing concern to lawmakers. Not only is insurance fraud a crime in most states, it also threatens the best interests of our customers because it raises the cost of insurance for everyone.

Compliance & Fraud Hotline at 1800-462-6565

DIVERSITY

MetLife's Diversity and Inclusion vision is to attract and retain the best talent and to foster an inclusive culture that leverages our diversity to drive growth and profitability wherever we do business in the global marketplace.

At MetLife, diversity is core to our business, embedded at all levels of our company with clear accountability for success. Our commitment to diversity and inclusion makes MetLife a more competitive company and allows us to better serve our customers, attract and retain the best talent, and do business with the best companies and suppliers around the world. It brings to MetLife fresh perspectives, new ways of thinking and more innovative products. It helps build relationships in the communities we serve and helps support our brand. At MetLife, diversity is a key driver of business performance and creates lasting shareholder value.

But examples really tell the story, and through this Diversity site, you'll learn more about how MetLife delivers on its commitment to Diversity - from our Work-Life solutions to our Enterprise-wide Diversity Council and Affinity Groups, to how we're reaching Multicultural Markets.

MetLife is an Equal Opportunity Employer.



"Coming into your own", performing as a Leader to be really effective and successful by acting and making decisions independently to get results.

It's all about People, MetLife's key resource. MetLife will succeed because we are winning from within.

Functioning productively in teams towards a common purpose; realising the collective power of diverse work-groups.

Operating with an intense dedication to managing monetary resources for strong business results.

Conducting all business endeavours with truth, sincerity and fairness.

Continuously creating and introducing new and original ideas and ways of doing things.

MANAGEMENT TEAM

Rajesh Relan

Managing Director

MSVS Phanesh

Appointed Actuary

Sameer Bansal

Director- Agency

Nitish Asthana

Director- Bancassurance & Business Partnerships

Joydeep Mukherji

Chief Financial Officer

Balachander Sekhar

Director - Marketing

KR Anil Kumar

Director - Legal & Risk and Company Secretary

P. S. Sankaran

Director – Compliance & Internal Controls

(Contd.)


KS Raghavan

Chief Administrative Officer

Gaurav Sharma

Director - Customer Service and Operations

Shilpa Vaid

Deputy Director- Human Resources

TAGLINE

Peace of Mind, Guaranteed

MASCOT- A DOG NAMED ‘SNOOPY’


PARTNERS

Geojit Securities was founded by Mr. C.J. George in 1987 as a Proprietorship for doing Broking business in Cochin Stock Exchange. In 1994, the business was taken over by Geojit Securities Ltd, a Joint Venture between Mr. C.J. George and the Kerala State Industrial Development Corporation Ltd. In the following year, the company came up with an IPO and the shares were listed in various Stock Exchanges in India in 1995.

Jammu and Kashmir Bank Limited was incorporated on 1st October, 1938 and commenced its business from 4th July, 1939 at in Kashmir (India). The Bank was the first in the country as a State owned bank. According to the extended Central laws of the state, Jammu & Kashmir Bank was defined as a govt. Company as per the provision of Indian companies' act 1956. In the year 1971, the Bank received the status of scheduled bank. It was declared as "A" Class Bank by RBI in 1976. Today the bank has more than 500 branches across the country and has recently become a billion Dollar Company.

(Contd.)


Mangalore–headquartered Karnataka Bank, a leading private sector Bank having a network of 433 branches across 19 States and 2 Union Territories, is more than 84 years old. The Bank is a technology savvy, customer centric progressive bank with a national presence, driven by the highest standards of corporate governance and guided by sound ethical values. All the 433 branches of the Bank are under the umbrella of core banking solution.

The Bank has a host of customer friendly deposit and advances products meeting the varied needs and preferences of its customers. The Bank offers a plethora of technology driven products like Internet Banking facility, Demat services, Mutual Fund products of reputed companies, Life and General Insurance services, Visa enabled Debit Card with wide acceptability across the globe. The Bank has an ambitious business turnover target of Rs. 35000 Crores for the year 2008-09 with a branch expansion plan to reach the tally of 460 branches and additional ATMs to take the total to 180 by end-March 2009.

In 1982, a group of Hyderabad-based practicing Chartered Accountants started Karvy Consultants Limited with a capital of Rs.1,50,000 offering auditing and taxation services initially. Later, it forayed into the Registrar and Share Transfer activities and subsequently into financial services. All along, Karvy's strong work ethic and professional background leveraged with Information Technology enabled it to deliver quality to the individual.

(Contd.)


Established in 1921, Mini Muthoottu with an illustrious history of banking behind them today operates from 75 branches in Kerala and 5 in Bangalore. All business concerns of Mini Muthoottu function under the strict guidelines set by the Department of Company Law Affairs and Reserve Bank of India. They also have a certificate of compliance with the requirements regarding prudential norms from the Reserve Bank of India. Mini Muthoottu, under the leadership of its Chairman, Mr. Roy M Mathew, offers both the resources and capabilities like any national player coupled with individualized attention to its customers.

Way2Wealth is a premier Investment Consultancy Firm that has been launched with the aim of making investing simpler, more understandable and profitable for the investors. Way2Wealth brings a wide range of product offerings from Fixed Income Securities, Life Insurance and Mutual Funds to Equity and Derivatives (on the National Stock Exchange) for the convenience and benefit of it customers. Way2Wealth has over 40 easily accessible investment outlets spread across 20 major towns and cities in the country.


METLIFE PERFORMS IN OVER THE FOLLOWING STATES

Andhra Pradesh Assam Bihar Chandigarh Chhattisgarh Delhi Goa Gujarat Haryana Jammu & Kashmir Jharkhand Karnataka Kerala Madhya Pradesh Maharashtra Orissa Punjab Rajasthan Tamilnadu Tripura Uttar Pradesh Uttrakhand West Bengal


STRATEGIES

To achieve a top 5 market position in India through a multi-distribution, multi-product platform.

To adapt MetLife's best practice blueprints as a sound platform for profitable growth.

To leverage local knowledge, infrastructure and customer base.

To deliver high levels of shareholder return.

To build long term value with our business partners by enhancing the proposition to their customers.

To be the employer of choice to attract and retain the best talent in India.

To be recognized as being close and qualified by our customers.


PRODUCTS OF METLIFE INSURANCE

Child Plan

Met Bhavishya Met Junior Endowment Met Junior Money Back Met Magic Plus

Retirement

Met Growth Super Met Pension-Par Met Pension Plus

Savings

Met Sukh Met Suvida Met Saral Met 100

Protection

Met Suraksha met Suraksha TROP Met Suraksha Plus Met Mortgage Protector Plus


Rural

Met Vishwas Met Suvidha-Rural

Investment

Met Easy Plus Met Wealth Plus Met Gold Plus Met Fortune Met Smart Life

Health

Met Health Care

Monthly Income

Met Monthly Income Plan Met Monthly Income Plan 7 Pay


INTRODUCTION OF THE PROCESS OF

RECRUITMENT AND SELECTION OF AGENT


OBJECTIVES OF THE STUDY

To understand the process of recruitment and selection of agent in MetLife.

How to recruits agent for MetLife. To know about the view of general public about the job of agent. Why people are not willing to work with as an agent, especially with

private player.

MEANING OF RECRUITMENT

Finding the right people is a make-or-break factor for success in business today. Recruiting the top talent for a job takes time and you have to attract quality candidates who have the knowledge and skills needed to help your company grow.

The fact is, your success with recruitment depends on how well you prepare your job ad, and use source of recruitment, and your interviewing skills.

Prepare a job ad that works to start, you want to be sure that your potential candidate truly understands the job. The clearer you are with the task description, working conditions and advantages, the less time you will waste examining and rejecting applications.

The essentials of any job description are:

A brief description of your company Detailed outline of the tasks involved Qualifications and experience required Equipment and resources used to do the work Skills required using them

(Contd.)


However, you should also include work benefits (e.g., vacation, travel and perks), general working conditions (e.g., scheduling, outside work) and the specific traits required (e.g., teambuilding and communications skills). Ultimately, you want to be perceived as an attractive employer in a competitive market.

Find the right recruitment vehicle choose the vehicle that best works for your company, depending on your budget and resources,

Word of mouth, or simply telling your employees, friends and colleagues about a job opening, is a less expensive strategy but generates fewer candidates. The advantage is that you already know something about your recruiters and their skills, knowledge and achievements. This is a preferred method with companies that have a finder's fee program for their employees.

Advertising is a toss of the dice. If it goes well, it can help you find ideal candidates in a regional, national, or international pool. If not, it's a costly investment yielding few results. Make sure to factor in the time it takes to go through a large number of resumes.

Employment agencies cost more but generally provide a good range of candidates. The employment advisors look at your needs, screen a number of candidates, and only send you the applications that meet your requirements. Bear in mind that the largest employment agencies do not necessarily offer the best choice of candidates. There are numerous agencies that specialize in recruitment in specific sectors.

Recruiting online such as monster.com, workopolis.com, and jobboom.com. These can provide inexpensive, worldwide access to employees. In fact, 65% of job seekers now have access to these types of services. Using the Internet for recruiting usually involves regular visits to specialized recruitment sites, joining newsgroups, and posting your job openings on recruitment sites, electronic publications and on your own Web site.


After recruitment the next part is selection of best candidates.

MAKE THE INTERVIEW DELIVER

Since the purpose of an interview is to identify and verify the candidate's potential, it should be structured to bring out all the desired competencies and aptitudes. Remember that you have to decide between the candidates: you could create a point system or analysis grid for comparing their strengths and weaknesses.

Here are a few points to consider when structuring an interview:

Make a list in advance of the points for discussion and corresponding questions.

Present the candidates with a situation they could face on the job and ask them how they would react. This will enable you to evaluate the candidates' knowledge, skills and work methods.

Ask the candidates to describe some difficult situations encountered in previous jobs and to explain the way in which they were resolved. This will give you the chance to gauge the candidates' self-confidence, creativity and problem-solving skills.

Ask the candidates to describe a difficult situation involving colleagues and how it was resolved. This will enable you to test their aptitude for teamwork.

Ask the candidates about their ambitions and plans to ensure they fit your company profile.

Beware of asking questions about personal interests. They can get the interview off track or annoy people who want to keep their work and private lives separate.


DEFINITION OF AGENT

According to section 182 of Indian contracts Act, an agent is a person employed to do any act for another or to represent another in dealing with a third person. In the insurance industry, the term agent´ is ordinarily applied to a person engaged by the insurer to procure new business. The insurance Act definers and insurance agent as one who is licensed under Section 42 of that Act and is paid by way of commission or otherwise, in consideration of his soliciting of procuring insurance business, including business relating to the continuance, renewal or revival of policies of insurance. He is, for all purposes, an authorized salesman for insurance and needs a license.

An agent is one who acts on behalf of another. Another on whose behalf the agent acts is called the principal in this case. The insurance company is the principal in this case. The lawyer is the agent of the client, when he argues the case in court. An ambassador is an agent of his country. The agent represents the principal and acts on his behalf. Some insurers designate their agents as advisers´,´ consultants´ etc. as if they are independent advisor or consultant would not be appointed by an insurance company. He would be knowledgeable enough as a person to be approached for advice or consultation. Some insurance agents may acquire that status. All insurance agents should strive to attain that status.


PROCEDURE FOR BECOMING AN AGENT

The insurance Act, 1938 lays down that an insurance agent must possess a license under Section 42 of that Act. The license is to be issued by the IRDA. The IRDA has authorized designated persons, in each insurance company, to issue the licenses on behalf of the IRDA.

In terms of the Insurance Act, licenses will not be given if the person is

(a) minor,

(b) found to be of unsound mind,

(c) found guilty of criminal misappropriation or criminal misappropriation or criminal breach of trust or cheating or forgery or an abetment of or attempt to commit any such offence

(d) found guilty of or knowingly participation in or conniving at any fraud, dishonesty or misrepresentation against an insurer or an insured,

(e) not possessing the requisite qualifications and specified training,

(f) Found violating the code of conduct as specified in the regulations.

(g) The fee for a license is Rs.825 for individual. A license is granted for 3 years. It may be renewed after 3 years and again valid for 3 years.

(Contd.)


A license issued by the IRDA may be to act as an agent for a life insurer, as well as for a general insurer. No agent is allowed to work for more than one life insurer or more than one general insurer.

The Qualifications necessary before a license can be given are that the person must be

a) Not a minor.

b) Have passed at least the 12th standard or equivalent examination, if he is to be appointed in a place with a population of 5,000 or more, then at least passed the 10th standard.

c) Have undergone practical training for at least 50 hours in life or general insurance business, as the case may be, form an institution, approved and notified by the IRDA. IN the case of a person wanting to become a composite insurance agent, the applicant should have completed at least 75 hours practical training in life and general insurance business, which may be spread over six to eight weeks.

d) Have passed the pre-recruitment examination conducted by the insurance institute of India or any other examination body authorized by the IRDA.

(Contd.)


The license once issued, can be cancelled whenever the person acquires a disqualification. Applications for renewal have to make at least thirty days before the expiry of the license, along either the renewal fee of Rs.250. If the application is not made at least thirty days before the expiry, but is made before the date of expiry of license, an additional fee of Rs.100 is payable . If the application is made after the date of expiry, it would be normally being refused.

Prior to renewal of the license, the agent should have completed at least 25 hours practical training in life or general insurance business or at least 50 hours practical training in life and general insurance business in the case of a composite insurance agent.

Insures who select agents for appointment, make arrangements for training, for appearing in the prescribed examinations, and obtaining the license.

NOTE

The insurance Act provides, In Section 44, for payment of commission on renewal premium even after termination of the agency. The commission will be limited to a rate not exceeding 4%, to be eligible for this; the agent should have been an agent with that insurer for at least

(1) five years and policies for at least Rs 50,000 are in force one year before termination of agency or,

(2) 10 years.

This commission will be payable to the heirs of the agent after the agent's death.


FUNCTION OF AN AGENT

Understanding the prospect's needs and persuade him to buy a plan of life insurance that suits his interests best.

Complete the formalities: - paper work, medical examination, which are necessary to get the policy expeditiously.

Keep in touch to ensure that changing circumstances are reflected in the arrangements relating to premium payments, nomination and other necessary alterations.

Facilitate quick settlement of claims. Be totally honest with both the prospect and the insurer. Not to induce prospects to submit wrong information.

CAREER WITH METLIFE

Opportunity to earn unlimited income. Career Growth. Be your own boss. High quality training & Support to improve productivity. Compensation amongst the best. Club member benefits. Payout structured to facilitate your cash flows better. Best in class & competitive products. Pension for life.


RECRUITMENT PROCESS


Develop a Profile

Develop sources of recruitment

Approaching the Targeted recruits

Initial screening and Interviews

Reality check

SOURCES OF RECRUITMENT


Controlled Uncontrolled

Natural Market

Centre of Influence

Agents gets Agents

Job Ads/Inserts

Placement Consultants

Presentation/Seminar

Cold Prospecting

Data Base

Primary Secondary

CONTROLLED SOURCES

NATURAL MARKET

Your family Your friends People at job/business Neighbours

EXTENDED NATURAL MARKET

The following are sources of names: People know through children. People know through spouse. People know through hobbies/ games. People known through social groups People known through public service. People you do business with. Friends of friends.

CENTRE OF INFLUNCE

People with influence and prestige, other member of society believe and faith on them.

People who have a big circle of relationships: like secretary in societies, president of an association.

People who are known to you and are willing to help you. People who have contacts with the class of people you want to deals with. People who have faith in your leadership. A centre of influence is a person who is in contact with many people

through social, political, religious or business angulations Usually a respected individual with influence over the people with

him/her is in contact.


UNCONTROLLED SOURCES

Job Ads/Inserts

This program should be on regular long range basis.

Example: Navjeevan Sharma who is a relationship officer in MetLife put an ad in the newspaper, in which he called for the reader to phone him during a specified 2 to 4 hours period on Monday or Sunday morning.

From those who called Navjeevan Sharma was able to eliminate more misfits (who are not qualified) and arrange for two to six personal visits.

Placement consultants

MOA can recruit a placement consultant or register himself in internet job search sites to get list of prospects.

Seminars/Job Fairs

Manager of agency can also organized seminars at management institutes and colleges.

OR

MetLife participate in the job fairs and then short list prospects and then look for further opportunities for them.

(Contd.)


Cold Prospecting

MOA can use the telephone directory. MOA and telecaller can use the directories of various business and social

organizations.

Database

Primary data : Direct collection of data of from the source of information, technology including personal interviewing, survey etc.

Secondary Data : Indirect collection of data from sources can be purchased from the open market and various kind of database is available such as telephone databases of various surveys.


POINT TO BE NOTED WHILE RECRUITING THE AGENTS

Mature and responsible family person. Ambitious, hungry for recognition, challenges. Occupation. Experience and current designation. For how many years he is living in the city. Greedy person. Occupation of parent. Family income. Any experience in life insurance sector. Leadership qualities. Social and amiable.

SOURCES FOR RECRUITMENT AND SELECTION OF AGENT USED DURING TRAINING


Natural Market Market SurveySecondary Data (Telephone Directory)

TELEPHONE SCRIPT

Hello sir,

I am Sanu Gupta from MetLife. I want your few minute to speak.

Sir, MetLife is going to expend the Business by recruiting quality people and offering them the potential of a very rewarding career opportunity.

We have acquired your business card and we are aware of the company you work for and you are one of the selective person with whom our company want to concern. So I would like to meet you for coffee to explain the exciting and rewarding opportunity. It may have for you in terms of career compensation and support.

(Excellent I look forward to meeting you please May I have your address and I will confirm our meeting in writing.)

OR

(According to your convenience will you please tell me when and where we can meet?)

Thank You Sir.

Step1. Documents Required

Age proof. Address proof. Photo. Education proof. Q score sheet. Agency application. Form VA. Fill NAAF.

(Contd.)


Step2. Interview section

During the interview the senior manager/MOA asked following question to the candidate to judge his ability and knowledge.

Qualification. Present occupation. Knowledge or experience in insurance sector Tenor of stay in the town. Number of family member. Household income. Occupation of parent.

If selected then the senior manager/MOA approve the application. The managers take the help of scoring Mechanism. Scoring Mechanism was filled at the time of apply.

Step3. Training

50 Hours Training and also provide a text book (IC-33 life insurance) for pre-recruitment Examination for Life Insurance Agents, which is based on syllabus prescribed by insurance Regulatory & Development Authority.

IRDA for short, has laid down that those who wish to become insurance agents will be given licenses only after they complete a course of study, training and pass an examination prescribed by it.

During this training the knowledge about the entire essential concept related to life insurance is provided to agent. Insurers will have different practices and offer different benefits in their plans. All of them will be based on these concepts. The details of the practices and the plans of each insurer will have to be learnt from the respective insures.

(Contd.)

Step4. During training following things will be taught


What is insurance Principles of life Assurance Premiums and Bonuses Life Insurance products Underwriting Insurance Documents Policy conditions Claims Linked life insurance products Insurance agency Laws and Regulations IRDA Regulation 2000. IRDA Regulation 2002.

Step5. Examination and Code

Examination is the second last part of the recruitment and selection process. It include one hour test under, which contain 50 objective questions, one marks each, and Pass marks are 25.

There are two method of examination.

Online Manual

In case of online the result is declared on the spot and in the case of manual result is declared within one month.

After clearing the exam, ULIP training of two days will be given to the advisor about the product of company and then agency code is generated.


OBJEC TIVES AND RESEARCH

METHODOLOGY


OBJECTIVES OF THE STUDY

To understand the process of recruitment and selection of agent in MetLife.

How to recruits agent for MetLife. To know about the view of general public about the job of

agent. Why people are not willing to work with as an agent, especially

with private player.

RESEARCH METHODOLOGY

Research Methodology is the investigation of specific problem in detail. At first problem is defined carefully for conducting research. There should be a good research plan for conducting research. No research can be done without data collection. After all this analyze is made for getting solution for problem.

Defining the problem Defining the sampling plan Collection of data Analyze and interpretation

Defining the problem

Defining the research problem is first necessary step for any research. This work should be done carefully. Here research problem is to know wiliness of general public to work as an agent with private player or MetLife.

(Contd.)

Sampling plan


The sampling plan calls for three decisions.

A) Sampling Unit: I have completed my survey in NORTH KOLKATA.

B) Sample Size: The selection of 20 respondents. The sample was drawn from shopkeepers. The selection of the respondent was done on the basis of simple random sampling.

C) Contract methods

I have conducted the respondent through personal interviews.

Research Instrument

A close friend questionnaire was constructed for my survey. Questionnaire consisting of a set of questions made to filled by various respondents.

Collecting the Information

After this, I have collected the information from the respondent with the help of questionnaire.

Analyze the Information

The next step is to extract the pertinent finding from the collected data. I have tabulated the collected data & developed frequency distributions.

Thus the whole data was grouped aspect wise and was presented in tabular from. Thus, frequencies & percentages were to redder impact of the study.

Presentations of Findings

This was the last stop of the survey.

DATA PRESENTAION AND INTERPRETATION


Name: - Address:-

Location:-

Mobile no.

Shop Type: - (Mobile stores, General store, Chemist etc. Please specify

Script

MetLife has expanded into new territories of business and they now offer the best in class insurance products.

MetLife is introducing Insurance to every part of Kolkata retailers and would like to give you an opportunity to earn and setup a new income which can give you 15-20% margin on an average.

In this business you only have to contact your known people or regular customers and their references to introduce MetLife’s product and get an appointment.

Post this, manager form MetLife will go, explain the product & close he will sale for you. You will in turn receive 15-20 % margin on sale. E.g. if a policy is sold by MetLife manager for 10,000 you will receive 2,000.

1) Would you be interested in taking up this business opportunity with MetLife?


Yes or, No

8,20%

32, 80%yes

no

Only 20% shopkeepers were interested in taking up this business opportunity with MetLife. (8 shopkeeper were interested in this activity)

2) How much time can you dedicate per day for this activity?(For getting Appointments)

½ hr 1-2 hrs 3-h hrs 5 hrs or more

6,75%

2,25% half hour1/2 to 22 to 44 to 5

From the above 8 people, 6 people said that they can spend ½ hour for this activity daily.

2 said that they can spend ½ to 2 hours for this activity. (Contd.)


3) Do you have any knowledge of or experience in Insurance?Yes or, No

8, 20%

32, 80%

no yes

80% of shopkeeper said that they have knowledge about insurance.

20% of shopkeeper said that they have no knowledge about insurance.

4) Do you have Experience as an agent?

Yes or, No

6, 15%

34, 85%

yes

no

15% of shopkeepers have experience in the field of life insurance. 85% of shopkeepers have no experience in the field of life insurance.

(Contd.)


If yes, then please specify the name of the company.

3,50%2, 33%

1, 17%

LIC

HDFC

ICICI

Out of 6 people 33%(3) of shopkeeper working with LIC

33% (2) of shopkeeper working with HDFC Standard Life insurance 33% (1) of shopkeeper working with ICICI Prudential Life Insurance Co.

Ltd.

5) Can you spare 1/2 day on training to understand to product and how can introduce it to your customer?

Yes or, No

4; 10%

36; 90%

Yes

no

10 % of shopkeepers were interesting to spare 1/2 day on training to understand to product.


Name: - Address:-

Location:-

Mobile no.

Shop Type: - (Mobile stores, General store, Chemist etc. Please specify

QUESTIONNAIRE

1. Would you be interested in taking up this business opportunity with MetLife?

a. Yesb. No

2. How much time can you dedicate per day for this activity? (For gettingAppointments)

a. ½ hrb. 1-2 hrsc. 3-h hrsd. 5 hrs or more

3. Do you have any knowledge of or experience in Insurance?

Knowledge:

a. Yesb. No

(Contd.)


Experience:

a. Yes b. No

If yes, then please specify the name of the company.

1. Can you spare ½ day on training to understand the product and how can introduce it to your customer?

a. Yesb. No

2. How many people do you know in this city?

a. Under 50 b. 51-100c. 101-300d. 301-600e. Above 600


LIMITATIONS

I didn’t get complete feed from the shopkeepers about the question as they are busy in their work and had less time to fill questioned.

Sincerity of answering the questions cannot be judged.

Time was the major constraint for me to understand the long process of recruitment and selection.

Limited money available for project.

FINDINGS

Why people are not ready to work with private players in life insurance?

OR

Why people are not ready to work as an agent in any company?

In these days LIC created a very well image in the mind of General public because it is semi Government Company and also an oldest company. In short most people of Indian believe upon the LIC only.

During the training period we felt that most of people who are already working in insurance sector think that it is easy to sell the product of LIC than to sell the product of other life insurance company.

Most of people say that this job affects upon their social relation with other and also effect upon their business.

Most of people believe that private insurance companies carried out fraud activity that’s why they never believe upon the private players.

People think that it is a time consuming activity and also required huge market skills.

Some people said that only greedy people like to work in insurance sector.

Because of three days compulsory training.


CONCLUSION

In India, there is throat cut competition in the market of life insurance that brand service which adopt new strategies for sales. I concluding the whole story it can be said that people are much more aware about the aspects of life insurance and also have knowledge about the role and act of agent but mostly people unwilling to work as life insurance agent and mostly people prefer to work with LIC because it is a semi government corporation.


SUGGESTIONS

MetLife must give more advertisements on electronic media and print media, as it help in enhance its goodwill and more people are willing to work with reputed companies, through proper advertisement it become easy to sell the product.

An insurance company must work with honesty to win the confident of its agent and general public.

Duration of training must be reducing as in these day people have no extra time.

Fees charged by companies from candidate for IRDA exam and training should reduce.

Many other extra facilities must be provide to agent to attract them such local and foreign trips, special price on achieving a target, open bank account at free of cost.

MetLife must organize more and more seminars and also participate in the job trade fairs to find out more candidates.

Increase the commission of agents. Company must relic to candidate or other people that they are doing a

social service for the welfare of society. Better career opportunity must be provided to an adviser, such as on role

job, promotion etc. A special function must organize time to time in which the special prizes

distribute among those agent who perform well. The duration of the process of recruitment and selection is too long (one

and half month), during this process mostly candidate loss there interest, so there is an urgent need to reduce the duration of this period.

Reduce the minimum premium amount it will help company to attract the agent of other company, as it increases the scope of market of its agent.


WEBLIOGRAPHY

www.metlife.com

www.metlife.co.in

www.irdaindia.org

www.ibef.org

www.en.wikipedia.org/wiki/Metlife

THE OPPORTUNITY

About 2/3 of the Indian population is 'insurable'

High % of population is uninsured or underinsurance.

We Indian are "natural savers"

Indians save the maximum in the world.

Those 'insured' are 'underinsured'.


http://www.en.wikipedia.org/wiki/Metlife

http://www.ibef.org/

http://www.irdaindia.org/

http://www.metlife.co.in/

http://www.metlife.com/

internship training report

Documents

life insurance sector

market of life insurance

aspects of life insurance

private insurance company

agents metlife

life time

analysis of metlife

project report