United India Insurance Company Profile
Content
INTRODUCTION
Insurance provides financial protection against a loss arising out of happening of an uncertain event. A person can avail this protection by paying premium to an insurance company. A pool is created through contributions made by persons seeking to protect themselves from common risk. Premium is collected by insurance companies which also act as trustee to the pool. Any loss to the insured in case of happening of an uncertain event is paid out of this pool. Insurance works on the basic principle of risk-sharing. A great advantage of insurance is that it spreads the risk of a few people over a large group of people exposed to risk of similar type. Definition: Insurance is a contract between two parties whereby one party agrees to undertake the risk of another in exchange for consideration known as premium and promises to pay a fixed sum of money to the other party on happening of an uncertain event (death) or after the expiry of a certain period in case of life insurance or to indemnify the other party on happening of an uncertain event in case of general insurance.-Insurance Act 1938 The party bearing the risk is known as the 'insurer' or 'assurer' and the party whose risk is covered is known as the 'insured' or 'assured'.
Concept of Insurance
The concept behind insurance is that a group of people exposed to similar risk come together and make contributions towards formation of a pool of funds. In case a person actually suffers a loss on account of such risk, he is compensated out of the same pool of funds. Contribution to the
pool is made by a group of people sharing common risks and collected by the insurance companies in the form of premiums.
Lets take an example to understand how general insurance actually works SUPPOSE :
Houses in a village = 1000 Value of 1 House = Rs. 40,000/ Houses burning in a year = 5 Total annual loss due to fire = Rs. 2,00,000/ Contribution of each house owner = Rs. 300/-
UNDERLYING ASSUMPTION All 1000 house owners are exposed to a common risk, i.e. fire PROCEDURE
All owners contribute Rs. 300/- each as premium to the
pool of funds
Total value of the fund = Rs. 3,00,000 (i.e. 1000 houses *
Rs. 300)
5 houses get burnt during the year
Insurance company pays Rs. 40,000/- out of the pool to all 5 house owners whose house got burnt
EFFECT OF INSURANCE
Risk of 5 house owners is spread over 1000 house owners in the village, thus reducing the burden on any one of the owners.
UNITED INDIA INSURANCE COMPANY
Solutions that bring back smiles... real fast United India Insurance Company Limited was incorporated as a Company on 18th February 1938. General Insurance Business in India was nationalized in 1972. 12 Indian Insurance Companies, 4 Cooperative Insurance Societies and Indian operations of 5 Foreign Insurers, besides General Insurance operations of southern region of Life Insurance Corporation of India were merged with United India Insurance Company Limited. After Nationalization United India has grown by leaps and bounds and has 18300 work force spread across 1340 offices providing insurance cover to more than 1 Crore policy holders. The Company has variety of insurance products to provide insurance cover from bullock carts to satellites. United India has been in the forefront of designing and implementing complex covers to large customers, as in cases of ONGC Ltd, GMRHyderabad International Airport Ltd, and Mumbai International Airport Ltd Tirumala-Tirupati Devasthanam etc. They have been also the pioneer in taking Insurance to rural masses with large level implementation of Universal Health Insurance Programme of Government of India & Vijaya Raji Janani Kalyan Yojana ( covering 45 lakhs women in the state of Madhya Pradesh) , Tsunami Jan Bima Yojana (in 4 states covering 4.59 lakhs of families) , National Livestock Insurance and many such schemes.
INDUSTRIAL PROFILE
The control on general insurance business started with the insurance act 1938, setting up the government control. In 1968 it was amended to add more provisions to and also Add Tariff Advisory Committee. This Tariff Advisory Committee now fixes the rates terms and conditions for many branches of general insurance like Fire, Engineering, Marine, Hull and Workmen compensation insurance. In 1972, the General Insurance (Business Nationalisation) Act was passed. It set up GIC and its subsidiaries. 107 private companies were merged into GIC and its subsidiaries and these companies included both Indian and foreign companies. General Insurance Corporation was formed as company under the Companies Act unlike LIC, which was setup as corporation. The GIC has only one office in Mumbai and is the holding companies for all the subsidiaries. It formulates general policy guidelines for general insurance industry and control the investment and reinsurance policy of the companies. GIC had four subsidiary companies, namely (with effect from Dec'2000, these subsidiaries have been de-linked from the parent company and made as independent insurance companies. 1. The Oriental Insurance Company Limited 2. The New India Assurance Company Limited 3. National Insurance Company Limited 4. United India Insurance Company Limited. In April 1993, the govt setup a high power committee headed by R. N. Malhotra, former Governor of Reserve Bank of India. The committee submitted its report to the ministry on 7th January 1994. On 23rd January 1996, The Insurance Regulatory Authority was set up by a Government order. N. Rangachari has taken over the function of the controller of the Insurance also. In that capacity he has the controlling authority over the General Insurance and Life Insurance business in India.
In the budget speech of July 1996, the govt formally announced its plans to open the Insurance Industry and also the intention of bringing an Insurance Regulatory Authority Bill 1996 Insurance Regulatory and Development Authority Act 1999 An Act to provide for the establishment of an Authority to protect the interest of the policy holders of insurance policies, to regulate, promote and ensure orderly growth of the insurance industry and for matters concerned there with or incidental thereto and further to amend Insurance Act 1938, and General Insurance Business (Nationalisation) Act 1972. On 26th August 1998 the Reddressal of public Grievances Rules 1998 was issued by the Insurance Division, Ministry of Finance by which the Govt of India setup the Insurance ombudsman scheme for GIC and LIC. This will handle cases against Industry from the public and would take over a large part of the consumer forums. The scope limited to personnel lineses of insurance i.e. Policies taken on individual capacity. Insurance Industry has Ombudsmen in 12 cities. Each Ombudsman is empowered to redress customer grievances in respect of insurance contracts on personal lines where the insured amount is less than Rs. 20 lakhs, in accordance with the Ombudsman Scheme. General Insurance Corporation of India GIC and its subsidiaries have completed a Gross Premium of Rs. 8086 crores as on 31-03-2009. The industry registered an underwriting loss of 384.20 crores, but it because of its investment income of Rs. 2056 crores, it recorded a net profit after tax of Rs. 1255 arores. The consolidated result of 2008-2009. The total asset as on 31-03-2009 stood at 21,563 crores
Private General Insurance Company Includes S.No. Registration Date of Name of the Company
Number 1 102
registration 23.10.2000 Royal Sundaram Alliance Insurance Company Limited Reliance General Insurance Company Limited. IFFCO Tokio General Insurance Co. Ltd TATA AIG General Insurance Company Ltd. Bajaj Allianz General Insurance Company Limited. ICICI Lombard General InsuranceCompany Limited.
2 3 4 5 6
103 106 108 113 115
23.10.2000 04.12.2000 22.01.2001 02.05.2001 03.08.2001
7
131
03-08-2007
Apollo DKV Insurance Company Limited Future General Insurance Company Limited Universal Sompo General Insurance Company Ltd. Cholamandalam General Insurance Company Ltd. Export Credit Guarantee Corporation Ltd. HDFC-Chubb General Insurance Co. Ltd.
8
132
04-09-2007
9
134
16-11-2007
10 11 12
123 124 125
15.07.2002 27.08.2002 27.08.2002
13 14
139 141
27.06.2008 15.12.2008
Bharti Axa General Insurance Company Ltd. Raheja QBEGeneral Insurance Co. Ltd
Insurance is a federal subject in India. The primary legislation that deals with insurance business in India is: Insurance Act 1938, and Insurance Regulatory & Development Authority Act 1999. Three Phases of De-Tariffing India’s general insurance industry has undergone de-tariffing in three phases: 1994 -- marine cargo, personal accident, health, banker liability and aviation 2005-06 -- marine hull segment 2007 -- fire, engineering and motor own damage (OD). However, the de-terrifying did not immediately allow for free pricing. Instead, insurers were required to follow the “file and use” method, whereby they were expected to file a charter of proposed rates, which was then approved by IRDA. The restrictions on price discounts during the initial periods were intended to ensure orderly price adjustments. They were removed in January 2008. The only segment that remains under a tariff regime is the third party motor business, although there has been a large upward revision in this area’s premium rates by regulators in recent times. Moreover, commercial third party motor business, which has traditional
COMPANY PROFILE
UNITED INDIA INSURANCE CO United India Insurance co is formed as a subsidiary of General Insurance Corporation of India. Their quarters is in Chennai. Now they are the second largest insurer in India and the largest in Rural insurance and Insurance of major power plants. They have carved a niche for themselves in this segment because of their deep rooted commitment combined with experience and expertise over 7 decades. Investment Information and Credit Rating Agency of India Limited (ICRA) has awarded them with ‘iAAA’ rating indicating sound financial position and highest claims paying capacity. The solvency margin is pegged at 3.32 and the net profit of the company for 2008-09 showed a healthy Rs. 745.485 crores. With over 1350 offices spanning the length and breadth of the country they have been at advantage to serve customers better. Besides this their core strength lies in their human resources. Having a work force of 17000+ people and an army of 2000 officers committed to the service of their customers, they are in a position to make light of the fact that they issue more than 1 crore policies in a year and settle more than 8 lac claims annually. They have 25 Regional Offices, 1 Regional Cell, 2 Large Corporate Brokers Unit, 362 Divisional Offices, 684 Branch Offices and 288 Micro Offices spread around the country. They have 17488 personnel working with them. There are 4451 officers (Class I) 2013 Development Officers (Class II) 8508 Staff Senior Assistant and Assistant (Class III),2516 Sub staff, Drivers, Peons and thousands of agents.
UNITED INDIA IN KERALA
United India’s Kerala Region was formed in the year 1984 and at the time the Premium was only around 12 crores. In 2008-09, this region completed a figure of 97 crores. There are 204 officers, 801 staff, 128 development officers and many agents working with them. They have a wide spread of officers in 16 divisional offices and 49 branch offices. United India in Kerala has the largest number of corporate clients with them. FACT Ltd. Hindustan Newsprint Ltd. Cochin Shipyard Ltd. Appollo Tyres Ltd. BPL, ITI, Instrumentation Ltd. Etc are all their clients They are the largest insurers of various Kerala Govt Schemes. Last year they launched the Kambhenu programme which is probably the largest mass insurance scheme launched the Rural Insurance. At present they are launching a large core insurance plan to equip our offices to meet the requirements. The Regional Office has setup a risk management cell, A grievance cell and a Customer Service Cell for responding to the demand of the customers. The Customer Service Cell is set up in all the Divisional offices. One of their most successful policy which launched in Kerala is Rashtriya Swasthya Bhima Yogana they insured from 2008 to 2010 more than ten lakhs people who are in below poverty line and above poverty line.
BASIC FACTS OF THE COMPANY
Name Address Activity : UNITED INDIA INSURANCE COMPANY LIMITED : : General Insurance
Sr.Branch Manager Administrative Officer Regd. & Head Office Net income Total employees Web site
: : : 24, Whites Road, Chennai – 600014 : 520 Crore INR : 21000 : www.uiic.in
Board of Directors
Chairman-cum-Managing Director : G. Srinivasan Director & General Manager General Manager General Manager : Milind Kharat : V. Harshavardhan : P C James
General Manager & Financial Advisor : S K Gosh General Manager General Manager : K Sanath Kumar : P J Joseph
Table 2. Premium Analysis (Rs. in crores) Year 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 Gross 2969.63 3063.47 2944.46 3154.78 3498.77 3739.56 4277.77 Net 2092.43 2151.36 2172.66 2225.85 2529.53 2880.65 3510.41
*Source-
Annual Reports
By analyzing the premium from 2002 to 2009 it is clear how much it stable UIIC as well as insurance industry Table 3. Profite Analysis (Rs. in crores) Year Befour tax 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 214.16 393.39 318.30 452.74 520.34 658.13 502.91 After tax 170.99 380.44 307.71 425.23 528.86 631.62 476.05
*Source-
Annual Reports
Profit analysis showing a satisfactory positive growth from 2002 to 2009
CORPORATE MISSION
To provide insurance protection to all. To ensure customer satisfaction. To function on sound business principles. To help minimize national waste and to help develop the
Indian
economy CORPORATE VISION The most preferred insurer in India, with global footprint & recognition Trusted brand admired by all stakeholders The best-in-class customer service provider leveraging technology & multiple channels The provider of a broad range of innovative products to meet the needs of all customer segments Great place to work with highly motivated and empowered employees Recognized for its contribution to the society
Their Banc assurance tie-ups Andhra Bank
State Bank of Hyderabad Indian Bank Canara Bank
Syndicate Bank
State Bank of Travancore
State Bank of Indore State Bank of Patiala Bank of Maharashtra
Bank of Rajasthan Federal bank Their Corporate Clients Oil and Petro-Chemical Majors
➢ ➢ ➢ ➢ ➢
Oil and Natural Gas Corporation Ltd. Indian Oil Corporation Hindustan Petroleum Corporation Ltd. Haldia Petrochemicals Ltd Gujarat State Fertilizer Corporation Gujarat Narmada Valley Fertilizer Corporation.
➢
Power and Energy Sector
➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢
Nuclear Power Corporation Kaiga, Kudankulam
Karnataka State Electricity Board, Bellary Punjab State Electricity Board Tiesta Uraj Ltd Chattisgarh State Electricity Board National Hydro Power Corporation National Thermal Power Corporation BHEL Power Projects: Chandrapura, Bakreshwar, Jaindal Super
Power Plant Raigarh, Sudan, Dadri
➢ ➢
GVK Industries Tata Power
➢ ➢ ➢
➢
Neyveli Lignite Corporation Damodar Valley Corporation Tanir Bavi Power Company Pvt. Ltd Tehri Hydro Development Corporation
➢ ➢ ➢ ➢ ➢ ➢
Subansiri Lower Hydro Electric Project Torrent Power SEPCO IOC Panipat Naphtha Cracker Project IOC Haldia Hydro Cracker Project Tata Projects Ltd
Aviation
➢ ➢ ➢
National carriers: NACIL (Air India) Private carrier: King Fisher / Air Deccan Indian Space Satellites Programme
Infrastructure Sector
Larsen and Toubro ➢ GMR Group ➢ Maytas Infrastructure
➢
Pharma Major
➢Dr. Reddy’s Laboratories
Hotels
➢ ➢ ➢
Oberoi Hyatt Regency Park Sheraton
Manufacturing
➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢
Ballarpur Industries MICO ITC FACT Nirma Asian Paints Oswal Group Balco Industries Hindalco Industries India Cements Vedanta Group Tata Motors TVS Group
OBJECTIVES AND METHODOLOGY
RESEARCH PROBLEM To study the product portfolio of UNITED INDIA INSURANCE COMPANY LIMITED. 1. Methodology of data collection:To conduct the studies different methodologies have been adopted. Both Primary and secondary data are used. Primary data were collected by conducting personal interviews with the departmental heads, casual talks with workers and secondary data were collected from the organization manuals
Primary sources
Direct interview with the departmental heads , detailed interview with the divisional heads and by interaction with workers and customers of the company . The data is also collected by observing the functions of the organization.
Secondary sources
The secondary sources of data are: 1. Organization documents. 2. Departmental manuals. 3. Annual reports 4. Periodicals, books etc. published by the company. 5. Proposals Forums.
1. Methodology of data analysis:-
The data collected were edited, coded and processed. The information is presented through tables, graphs etc.
SCOPE OF THE STUDY This study is restricted to the analysis Product portfolio of United India Insurance Co Ltd. For the purpose of the study the data relating various products benefits premium risk covered are used. LIMITATION OF THE STUDY 1. In the given short time it is very difficult to cover all area aspect of the firm. 2. Only product portfolio is analyzed in the study. The firm’s overall performance cannot be evaluated in the study. 3. Company keeping some data confidential due to competition.
Insurance provides financial protection against a loss arising out of happening of an uncertain event. A person can avail this protection by paying premium to an insurance company. A pool is created through contributions made by persons seeking to protect themselves from common risk. Premium is collected by insurance companies which also act as trustee to the pool. Any loss to the insured in case of happening of an uncertain event is paid out of this pool. Insurance works on the basic principle of risk-sharing. A great advantage of insurance is that it spreads the risk of a few people over a large group of people exposed to risk of similar type. Definition: Insurance is a contract between two parties whereby one party agrees to undertake the risk of another in exchange for consideration known as premium and promises to pay a fixed sum of money to the other party on happening of an uncertain event (death) or after the expiry of a certain period in case of life insurance or to indemnify the other party on happening of an uncertain event in case of general insurance.-Insurance Act 1938 The party bearing the risk is known as the 'insurer' or 'assurer' and the party whose risk is covered is known as the 'insured' or 'assured'.
Concept of Insurance
The concept behind insurance is that a group of people exposed to similar risk come together and make contributions towards formation of a pool of funds. In case a person actually suffers a loss on account of such risk, he is compensated out of the same pool of funds. Contribution to the
pool is made by a group of people sharing common risks and collected by the insurance companies in the form of premiums.
Lets take an example to understand how general insurance actually works SUPPOSE :
Houses in a village = 1000 Value of 1 House = Rs. 40,000/ Houses burning in a year = 5 Total annual loss due to fire = Rs. 2,00,000/ Contribution of each house owner = Rs. 300/-
UNDERLYING ASSUMPTION All 1000 house owners are exposed to a common risk, i.e. fire PROCEDURE
All owners contribute Rs. 300/- each as premium to the
pool of funds
Total value of the fund = Rs. 3,00,000 (i.e. 1000 houses *
Rs. 300)
5 houses get burnt during the year
Insurance company pays Rs. 40,000/- out of the pool to all 5 house owners whose house got burnt
EFFECT OF INSURANCE
Risk of 5 house owners is spread over 1000 house owners in the village, thus reducing the burden on any one of the owners.
UNITED INDIA INSURANCE COMPANY
Solutions that bring back smiles... real fast United India Insurance Company Limited was incorporated as a Company on 18th February 1938. General Insurance Business in India was nationalized in 1972. 12 Indian Insurance Companies, 4 Cooperative Insurance Societies and Indian operations of 5 Foreign Insurers, besides General Insurance operations of southern region of Life Insurance Corporation of India were merged with United India Insurance Company Limited. After Nationalization United India has grown by leaps and bounds and has 18300 work force spread across 1340 offices providing insurance cover to more than 1 Crore policy holders. The Company has variety of insurance products to provide insurance cover from bullock carts to satellites. United India has been in the forefront of designing and implementing complex covers to large customers, as in cases of ONGC Ltd, GMRHyderabad International Airport Ltd, and Mumbai International Airport Ltd Tirumala-Tirupati Devasthanam etc. They have been also the pioneer in taking Insurance to rural masses with large level implementation of Universal Health Insurance Programme of Government of India & Vijaya Raji Janani Kalyan Yojana ( covering 45 lakhs women in the state of Madhya Pradesh) , Tsunami Jan Bima Yojana (in 4 states covering 4.59 lakhs of families) , National Livestock Insurance and many such schemes.
INDUSTRIAL PROFILE
The control on general insurance business started with the insurance act 1938, setting up the government control. In 1968 it was amended to add more provisions to and also Add Tariff Advisory Committee. This Tariff Advisory Committee now fixes the rates terms and conditions for many branches of general insurance like Fire, Engineering, Marine, Hull and Workmen compensation insurance. In 1972, the General Insurance (Business Nationalisation) Act was passed. It set up GIC and its subsidiaries. 107 private companies were merged into GIC and its subsidiaries and these companies included both Indian and foreign companies. General Insurance Corporation was formed as company under the Companies Act unlike LIC, which was setup as corporation. The GIC has only one office in Mumbai and is the holding companies for all the subsidiaries. It formulates general policy guidelines for general insurance industry and control the investment and reinsurance policy of the companies. GIC had four subsidiary companies, namely (with effect from Dec'2000, these subsidiaries have been de-linked from the parent company and made as independent insurance companies. 1. The Oriental Insurance Company Limited 2. The New India Assurance Company Limited 3. National Insurance Company Limited 4. United India Insurance Company Limited. In April 1993, the govt setup a high power committee headed by R. N. Malhotra, former Governor of Reserve Bank of India. The committee submitted its report to the ministry on 7th January 1994. On 23rd January 1996, The Insurance Regulatory Authority was set up by a Government order. N. Rangachari has taken over the function of the controller of the Insurance also. In that capacity he has the controlling authority over the General Insurance and Life Insurance business in India.
In the budget speech of July 1996, the govt formally announced its plans to open the Insurance Industry and also the intention of bringing an Insurance Regulatory Authority Bill 1996 Insurance Regulatory and Development Authority Act 1999 An Act to provide for the establishment of an Authority to protect the interest of the policy holders of insurance policies, to regulate, promote and ensure orderly growth of the insurance industry and for matters concerned there with or incidental thereto and further to amend Insurance Act 1938, and General Insurance Business (Nationalisation) Act 1972. On 26th August 1998 the Reddressal of public Grievances Rules 1998 was issued by the Insurance Division, Ministry of Finance by which the Govt of India setup the Insurance ombudsman scheme for GIC and LIC. This will handle cases against Industry from the public and would take over a large part of the consumer forums. The scope limited to personnel lineses of insurance i.e. Policies taken on individual capacity. Insurance Industry has Ombudsmen in 12 cities. Each Ombudsman is empowered to redress customer grievances in respect of insurance contracts on personal lines where the insured amount is less than Rs. 20 lakhs, in accordance with the Ombudsman Scheme. General Insurance Corporation of India GIC and its subsidiaries have completed a Gross Premium of Rs. 8086 crores as on 31-03-2009. The industry registered an underwriting loss of 384.20 crores, but it because of its investment income of Rs. 2056 crores, it recorded a net profit after tax of Rs. 1255 arores. The consolidated result of 2008-2009. The total asset as on 31-03-2009 stood at 21,563 crores
Private General Insurance Company Includes S.No. Registration Date of Name of the Company
Number 1 102
registration 23.10.2000 Royal Sundaram Alliance Insurance Company Limited Reliance General Insurance Company Limited. IFFCO Tokio General Insurance Co. Ltd TATA AIG General Insurance Company Ltd. Bajaj Allianz General Insurance Company Limited. ICICI Lombard General InsuranceCompany Limited.
2 3 4 5 6
103 106 108 113 115
23.10.2000 04.12.2000 22.01.2001 02.05.2001 03.08.2001
7
131
03-08-2007
Apollo DKV Insurance Company Limited Future General Insurance Company Limited Universal Sompo General Insurance Company Ltd. Cholamandalam General Insurance Company Ltd. Export Credit Guarantee Corporation Ltd. HDFC-Chubb General Insurance Co. Ltd.
8
132
04-09-2007
9
134
16-11-2007
10 11 12
123 124 125
15.07.2002 27.08.2002 27.08.2002
13 14
139 141
27.06.2008 15.12.2008
Bharti Axa General Insurance Company Ltd. Raheja QBEGeneral Insurance Co. Ltd
Insurance is a federal subject in India. The primary legislation that deals with insurance business in India is: Insurance Act 1938, and Insurance Regulatory & Development Authority Act 1999. Three Phases of De-Tariffing India’s general insurance industry has undergone de-tariffing in three phases: 1994 -- marine cargo, personal accident, health, banker liability and aviation 2005-06 -- marine hull segment 2007 -- fire, engineering and motor own damage (OD). However, the de-terrifying did not immediately allow for free pricing. Instead, insurers were required to follow the “file and use” method, whereby they were expected to file a charter of proposed rates, which was then approved by IRDA. The restrictions on price discounts during the initial periods were intended to ensure orderly price adjustments. They were removed in January 2008. The only segment that remains under a tariff regime is the third party motor business, although there has been a large upward revision in this area’s premium rates by regulators in recent times. Moreover, commercial third party motor business, which has traditional
COMPANY PROFILE
UNITED INDIA INSURANCE CO United India Insurance co is formed as a subsidiary of General Insurance Corporation of India. Their quarters is in Chennai. Now they are the second largest insurer in India and the largest in Rural insurance and Insurance of major power plants. They have carved a niche for themselves in this segment because of their deep rooted commitment combined with experience and expertise over 7 decades. Investment Information and Credit Rating Agency of India Limited (ICRA) has awarded them with ‘iAAA’ rating indicating sound financial position and highest claims paying capacity. The solvency margin is pegged at 3.32 and the net profit of the company for 2008-09 showed a healthy Rs. 745.485 crores. With over 1350 offices spanning the length and breadth of the country they have been at advantage to serve customers better. Besides this their core strength lies in their human resources. Having a work force of 17000+ people and an army of 2000 officers committed to the service of their customers, they are in a position to make light of the fact that they issue more than 1 crore policies in a year and settle more than 8 lac claims annually. They have 25 Regional Offices, 1 Regional Cell, 2 Large Corporate Brokers Unit, 362 Divisional Offices, 684 Branch Offices and 288 Micro Offices spread around the country. They have 17488 personnel working with them. There are 4451 officers (Class I) 2013 Development Officers (Class II) 8508 Staff Senior Assistant and Assistant (Class III),2516 Sub staff, Drivers, Peons and thousands of agents.
UNITED INDIA IN KERALA
United India’s Kerala Region was formed in the year 1984 and at the time the Premium was only around 12 crores. In 2008-09, this region completed a figure of 97 crores. There are 204 officers, 801 staff, 128 development officers and many agents working with them. They have a wide spread of officers in 16 divisional offices and 49 branch offices. United India in Kerala has the largest number of corporate clients with them. FACT Ltd. Hindustan Newsprint Ltd. Cochin Shipyard Ltd. Appollo Tyres Ltd. BPL, ITI, Instrumentation Ltd. Etc are all their clients They are the largest insurers of various Kerala Govt Schemes. Last year they launched the Kambhenu programme which is probably the largest mass insurance scheme launched the Rural Insurance. At present they are launching a large core insurance plan to equip our offices to meet the requirements. The Regional Office has setup a risk management cell, A grievance cell and a Customer Service Cell for responding to the demand of the customers. The Customer Service Cell is set up in all the Divisional offices. One of their most successful policy which launched in Kerala is Rashtriya Swasthya Bhima Yogana they insured from 2008 to 2010 more than ten lakhs people who are in below poverty line and above poverty line.
BASIC FACTS OF THE COMPANY
Name Address Activity : UNITED INDIA INSURANCE COMPANY LIMITED : : General Insurance
Sr.Branch Manager Administrative Officer Regd. & Head Office Net income Total employees Web site
: : : 24, Whites Road, Chennai – 600014 : 520 Crore INR : 21000 : www.uiic.in
Board of Directors
Chairman-cum-Managing Director : G. Srinivasan Director & General Manager General Manager General Manager : Milind Kharat : V. Harshavardhan : P C James
General Manager & Financial Advisor : S K Gosh General Manager General Manager : K Sanath Kumar : P J Joseph
Table 2. Premium Analysis (Rs. in crores) Year 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 Gross 2969.63 3063.47 2944.46 3154.78 3498.77 3739.56 4277.77 Net 2092.43 2151.36 2172.66 2225.85 2529.53 2880.65 3510.41
*Source-
Annual Reports
By analyzing the premium from 2002 to 2009 it is clear how much it stable UIIC as well as insurance industry Table 3. Profite Analysis (Rs. in crores) Year Befour tax 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 214.16 393.39 318.30 452.74 520.34 658.13 502.91 After tax 170.99 380.44 307.71 425.23 528.86 631.62 476.05
*Source-
Annual Reports
Profit analysis showing a satisfactory positive growth from 2002 to 2009
CORPORATE MISSION
To provide insurance protection to all. To ensure customer satisfaction. To function on sound business principles. To help minimize national waste and to help develop the
Indian
economy CORPORATE VISION The most preferred insurer in India, with global footprint & recognition Trusted brand admired by all stakeholders The best-in-class customer service provider leveraging technology & multiple channels The provider of a broad range of innovative products to meet the needs of all customer segments Great place to work with highly motivated and empowered employees Recognized for its contribution to the society
Their Banc assurance tie-ups Andhra Bank
State Bank of Hyderabad Indian Bank Canara Bank
Syndicate Bank
State Bank of Travancore
State Bank of Indore State Bank of Patiala Bank of Maharashtra
Bank of Rajasthan Federal bank Their Corporate Clients Oil and Petro-Chemical Majors
➢ ➢ ➢ ➢ ➢
Oil and Natural Gas Corporation Ltd. Indian Oil Corporation Hindustan Petroleum Corporation Ltd. Haldia Petrochemicals Ltd Gujarat State Fertilizer Corporation Gujarat Narmada Valley Fertilizer Corporation.
➢
Power and Energy Sector
➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢
Nuclear Power Corporation Kaiga, Kudankulam
Karnataka State Electricity Board, Bellary Punjab State Electricity Board Tiesta Uraj Ltd Chattisgarh State Electricity Board National Hydro Power Corporation National Thermal Power Corporation BHEL Power Projects: Chandrapura, Bakreshwar, Jaindal Super
Power Plant Raigarh, Sudan, Dadri
➢ ➢
GVK Industries Tata Power
➢ ➢ ➢
➢
Neyveli Lignite Corporation Damodar Valley Corporation Tanir Bavi Power Company Pvt. Ltd Tehri Hydro Development Corporation
➢ ➢ ➢ ➢ ➢ ➢
Subansiri Lower Hydro Electric Project Torrent Power SEPCO IOC Panipat Naphtha Cracker Project IOC Haldia Hydro Cracker Project Tata Projects Ltd
Aviation
➢ ➢ ➢
National carriers: NACIL (Air India) Private carrier: King Fisher / Air Deccan Indian Space Satellites Programme
Infrastructure Sector
Larsen and Toubro ➢ GMR Group ➢ Maytas Infrastructure
➢
Pharma Major
➢Dr. Reddy’s Laboratories
Hotels
➢ ➢ ➢
Oberoi Hyatt Regency Park Sheraton
Manufacturing
➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢ ➢
Ballarpur Industries MICO ITC FACT Nirma Asian Paints Oswal Group Balco Industries Hindalco Industries India Cements Vedanta Group Tata Motors TVS Group
OBJECTIVES AND METHODOLOGY
RESEARCH PROBLEM To study the product portfolio of UNITED INDIA INSURANCE COMPANY LIMITED. 1. Methodology of data collection:To conduct the studies different methodologies have been adopted. Both Primary and secondary data are used. Primary data were collected by conducting personal interviews with the departmental heads, casual talks with workers and secondary data were collected from the organization manuals
Primary sources
Direct interview with the departmental heads , detailed interview with the divisional heads and by interaction with workers and customers of the company . The data is also collected by observing the functions of the organization.
Secondary sources
The secondary sources of data are: 1. Organization documents. 2. Departmental manuals. 3. Annual reports 4. Periodicals, books etc. published by the company. 5. Proposals Forums.
1. Methodology of data analysis:-
The data collected were edited, coded and processed. The information is presented through tables, graphs etc.
SCOPE OF THE STUDY This study is restricted to the analysis Product portfolio of United India Insurance Co Ltd. For the purpose of the study the data relating various products benefits premium risk covered are used. LIMITATION OF THE STUDY 1. In the given short time it is very difficult to cover all area aspect of the firm. 2. Only product portfolio is analyzed in the study. The firm’s overall performance cannot be evaluated in the study. 3. Company keeping some data confidential due to competition.
