A PROJECT REPORT ON EXPLORATIVE STUDY ON RECURIMENT OF LIFE ADVISOR IN INSURANCE COMPANY. SUBMITTED IN PARTIAL FULLFILMENT OF THE REQUIREMENT OF BACHLOR OF BUSINESS ADMINISTRATION (B. B. A) JAI NARAYAN VYAS UNIVERSITY, JODHPUR. SUBMITTED TO SUBMITTED BY MISS. MIRDULA CHANDA MUSHFIK HASNEN RIJVI SUPERVISER B. B. A. III YEAR AISHWARYA COLLEGE OF EDUCATION E. NO 07/9176 PROJECT SUPERVISED BY:- ASHISH KHATRI (SALES MANAGER) KOTAK MAHINDRA LIFE INSURANCE SESSION 2007-2010 A-9 1ST Extension, Kamala Nehru Nagar, Jodhpur (Raj. ) CERTIFICATE This is to certify that Mr.
MUSHFIK HASNEN RIJVI, Enrollment No. 07/9176 has supervision his project report on RECURIMENT OF LIFE ADVISOR. The work embodied in this report is original and is of the standard expected of an BBA student and has not been submitted in part or full to this or any other university for the award of any degree diploma. He has completed all requirements of guidelines for project report and the work is fit for evaluation. We found him sharp and intelligent and wish all the best in his future endeavors. MISS. MRIDULA CHANDA PROJECT SUPERVISOR Aishwarya College of Education UNDERTAKING
I hereby declare that total work of this project entitled “RECURIMENT OF LIFE ADVISOR “ in company’s name is an original work of mine is done during the month June – July as part of Summer training under the guidance of ASHISH KHATRI to the best of my knowledge and beliefs the facts mentioned in the report are true. MUSHFIK HASNEN RIJVI E/NO 07/9176 B. B. A. Part III ACKNOWLEDGEMENT:- I am highly thankful to Mr. Narayan singh (ABM) to provide me an opportunity to work in his esteemed organization as Summer Trainee. I am greatly indebted to my project supervisor Mr.
Ashish khatri (Senior Sales Manager) for constant guidance throughout the course of this work and for providing me all necessary information for my project work. I am also thankful to Mr. Harsh Chauhan (Marketing Head) for giving me necessary information at any time. MUSHIK HASNEN RIJVI E/NO: – 06/93 Content 1) Introduction 2) Introduction of life insurance 3) Method of recruitment 4) Company Orientation 5) kotak Life Insurance 6) Business Module A. Alternate Channel B. Tide channel 7) Life Advisor 8) Conclusion 9) Reward & Recognition 10) Recommendation INTRODUCTION OF LIFE INSURANCE
Life insurance is a contract between the policy owner and the insurer, where the insurer agrees to pay a sum of money upon the occurrence of the insured individual’s or individuals’ death or other event, such as terminal illness or critical illness. In return, the policy owner agrees to pay a stipulated amount called a premium at regular intervals Orr in lump sums. There may be designs in some countries where bills and death expenses plus catering for after funeral expenses should be included in Policy Premium. In the United States, the predominant form simply specifies a lump sum to be paid on the insured’s demise.
As with most insurance policies, life insurance is a contract between the insurer and the policy owner whereby a benefit is paid to the designated beneficiaries if an insured event occurs which is covered by the policy. To be a life policy the insured event must be based upon the lives of the people named in the policy. ADVANTAGES OF LIFE INSURANCE Most of the time, insurance advisors want to discuss term life insurance. Because it is only purchased for a set span of time, or a term, the premiums are lower. For this reason alone, many agents probably believe that these orts of temporary policies are more attractive to their clients. However, even though traditional policies may seem more expensive, it does have advantages that should be considered before taking out a long term contract like an insurance policy. For one thing, whole life coverage will cover you for your entire life as long as the policy is kept in force. The policy will not expire. Furthermore, the premium rate you are quoted at 35 will be the premium you will pay when you are 65! Unless of course, you have purchased a policy that is designed to be paid up over a period of years.
This is a great benefit. You can pay up your coverage over a period of years, usually ten or twenty, and then have the satisfaction of knowing that your life is covered forever! On the other hand, some term policies do not guarantee that rates will remain level through the whole term. To guarantee that rate, you could have to buy an extra rider, and all of a sudden, that policy is not as cheap as it looked like before. If you do not make sure the premium will remain level, and you do not buy the rider, you could find your rates increased after five years.
With a term policy, you will either have to accept the higher premium or lose the policy, with nothing to show for the years you did pay on it. Another advantage of permanent coverage is that it can actually be used as an asset. When you build up cash value, you can borrow against that value. You can even choose to cash your policy in for the value. Of course, then you could be left without life insurance, but at least you will have some cash back for the premiums you put in. If you have a permanent policy, you can even choose to sell the face value of the life insurance policy in many states.
The purchaser will continue making payments on the policy if it needs to be kept in force, but will pay a cash settlement to the insured person. For seniors on fixed incomes, RECRUITMENT DEFINATION OF RECRUITMENT According to Edwin B. Flippo, “Recruitment is the process of searching the candidates for employment and stimulating them to apply for jobs in the organization”. Recruitment is the activity that links the employers and the job seekers. A few definitions of recruitment are: 1. A process of finding and attracting capable applicants for employment.
The process begins when new recruits are sought and ends when their applications are submitted. The result is a pool of applications from which new employees are selected. 2. It is the process to discover sources of manpower to meet the requirement of staffing schedule and to employ effective PROCESS OF RECRUITMENT |The recruitment and selection is the major function of the human resource department and recruitment process is the first step towards| |creating the competitive strength and the strategic advantage for the organizations.
Recruitment process involves a systematic | |procedure from sourcing the candidates to arranging and conducting the interviews and requires many resources and time. A general | |recruitment process is as follows: | |Identifying the vacancy: | |The recruitment process begins with the human resource department receiving requisitions for recruitment from any department of the | |company.
These contain: | | | |• Posts to be filled | |• Number of persons | |• Duties to be performed | |• Qualifications required | |Preparing the job description and person specification. |Locating and developing the sources of required number and type of employees (Advertising etc). | |Short-listing and identifying the prospective employee with required characteristics. | |Arranging the interviews with the selected candidates. | |Conducting the interview and decision making | | |[pic] | | | |Identify vacancy | |Prepare job description and person specification | |Advertising the vacancy | |Managing the response | |Short-listing | |Arrange interviews | |Conducting interview and decision making | |The recruitment process is immediately followed by the selection process i. e. the final interviews and the decision making, conveying | |the decision and the appointment formalities. | SOURCE OF RECRUITMENT | | |Every organization has the option of choosing the candidates for its recruitment processes from two kinds of sources: internal and | |external sources. The sources within the organization itself (like transfer of employees from one department to other, promotions) to | |fill a position are known as the internal sources of recruitment.
Recruitment candidates from all the other sources (like outsourcing | |agencies etc. ) are known as the external sources of recruitment. | | | | | |SOURCES OF RECRUITMENT | |[pic] | INTERNAL SOURCES | | |1.
TRANSFERS | |The employees are transferred from one department to another according to their efficiency and experience. | | | |2. PROMOTIONS | |The employees are promoted from one department to another with more benefits and greater responsibility based on efficiency and | |experience. | | | |3. UPGRADING AND DEMOTION of present employees according to their performance. | | | |4.
RETIRED AND RETRENCHED EMPLOYEES may also be recruited once again in case of shortage of qualified personnel or increase in load of| |work. Recruitment such people | | | |Save time and costs of the organizations as the people are already aware of the organizational culture and the policies and | |procedures. | | | |5. DECEASED EMPLOYEES AND DISABLED EMPLOYEES They are also done by many companies so that the members of the family do not become | |dependent on the mercy of others. | EXTERNAL SOURCES | |1. PRESS ADVERTISEMENTS | |Advertisements of the vacancy in newspapers and journals are a widely used source of recruitment. The main advantage of this method is| |that it has a wide reach. | | | |2. EDUCATIONAL INSTITUTES | |Various management institutes, engineering colleges, medical Colleges etc. re a good source of recruiting well qualified executives, | |engineers, medical staff etc. They provide facilities for campus interviews and placements. This source is known as Campus | |Recruitment. | | | |3. PLACEMENT AGENCIES | |Several private consultancy firms perform recruitment functions on behalf of client companies by charging a fee. These | | | |Agencies are particularly suitable for recruitment of executives and specialists.
It is also known as RPO (Recruitment Process | |Outsourcing) | |EMPLOYMENT EXCHANGES | |Government establishes public employment exchanges throughout the country. These exchanges provide job information to job seekers and | |help employers in identifying suitable candidates. | |LABOUR CONTRACTORS | |Manual workers can be recruited through contractors who maintain close contacts with the sources of such workers. This source is used | |to recruit labour for construction jobs. | |UNSOLICITED APPLICANTS | |Many job seekers visit the office of well-known companies on their own. Such callers are considered nuisance to the daily work routine| |of the enterprise.
But can help in creating the talent pool or the database of the probable candidates for the organization. | |EMPLOYEE REFERRALS / RECOMMENDATIONS | |many organizations have structured system where the current employees of the organization can refer their friends and relatives for | |some position in their organization. Also, the office bearers of trade unions are often aware of the suitability of candidates. | |Management can inquire these leaders for suitable jobs. In some organizations these are formal agreements to give priority in | |recruitment to the candidates recommended by the trade union. |RECRUITMENT AT FACTORY GATE | |Unskilled workers may be recruited at the factory gate these may be employed whenever a permanent worker is absent. More efficient | |among these may be recruited to fill permanent vacancies. | IMPORTANCE OF RECRUITMENT |Attract and encourage more and more candidates to apply in the organization. | |Create a talent pool of candidates to enable the selection of best candidates for the organization. | |Determine present and future requirements of the organization in conjunction with its personnel planning and job analysis activities. |Recruitment is the process which links the employers with the employees. | |Increase the pool of job candidates at minimum cost. | | | | | |Help increase the success rate of selection process by decreasing number of visibly under qualified or overqualified job applicants. | |Help reduce the probability that job applicants once recruited and selected will leave the organization only after a short period of | |time. | |Meet the organizations legal and social obligations regarding the composition of its workforce. | | |Begin identifying and preparing potential job applicants who will be appropriate candidates. | |Increase organization and individual effectiveness of various recruiting techniques and sources for all types of job applicants | ] COMPANY ORIENTATION KOTAK MAHINDRA OLD MUTUAL LIFE INSURANCE LTD. • A Joint Venture between one of India’s latest Bank and one of the world’s largest financial company. • One of the leading private insurance companies in India today. • Well-trained and Qualified Life Advisors. • Complete, Innovative product range. • Superior customized service. Kotak Mahindra Old Mutual Life Insurance Ltd. is a joint venture between Kotak Mahindra Bank Ltd. (KMBL), and Old Mutual plc.
At Kotak Life Insurance, we aim to help customers take important financial decisions at every stage in life by offering them a wide range of innovative life insurance products, to make them financially independent KOTAK MAHINDRA LOGO [pic] [pic] [pic] [pic] HERE THIS SINGE IS RELATED TO INFINITE. IT MEANS THAT COMPANY IS NOT ENDED IT IS RUNING ON COUNTINOUSLY IN WHOLE LIVE IN SHORT KOTAK IS NEVER ENDED. [pic]HERE KOTAK IS RELATED TO COMPANY OWNER NAME THAT IS UDAY KOTAK. [pic] HERE THIS LOGO SAYS THAT KOTAK LIFE INSURANCE COMPANY JOINT VENTURE WITH OLD MUTUAL PLC. COMPANY. KOTAK MAHINDRA GROUP • First NBFC to become a Bank • Complete Range of Financial Service • AAA credit rating • AUM: Rs. 14,500 crores • Network of Rs. 1800 crores • 4,400 employees OLD MUTUAL PLC • Old Mutual plc.
Is a world-class international financial services company, with the operations in life insurance, asset management and banking. It is one of the big players in the U. S. , U. K. and the African Continent. • Over 150 Years of experience in Life Insurance. • One of the best ‘returns’ amongst insurers worldwide. • Base of over 3. 8 million Life assurance policyholders. • A FTSE 100 Financial services group, and ranks as Fortune Global 500 Company. • 3rd largest insurer listed on London Stock Exchange. • The Old Mutual group manages in excess of $235 billion in funds i. e. , a total asset base of more than Rs. 11 Lakh crore. • South Africa’s largest life insurance, banking & mutual funds company • AUM: US $ 306 billion Approach To Partnership o Kotak Mahindra Bank Ltd Kotak Mahindra Capital Company Ltd o Kotak’s International Business o Kotak Mahindra Prime Ltd o Kotak Securities Ltd o Kotak Mahindra Asset Management Company Kotak Mahindra Bank Ltd. The Kotak Mahindra Group’s flagship company, Kotak Mahindra Finance Ltd which was established in 1985, was converted into a bank – Kotak Mahindra Bank Ltd in March 2003 becoming the first Indian company to convert into a Bank. It’s banking operations offers a central platform for customer relationships across the group’s various businesses. The bank has a presence in the Commercial Vehicles, Retail Finance, Corporate Banking, Treasury and Housing Finance. Kotak Mahindra Capital Company Ltd.
Kotak Investment Banking* (KIB) is India’s premier Investment Bank Kotak Investment Banking (KIB) and Kotak Institutional Equities represent the securities business of the Kotak Mahindra Group (KI), Kotak Investment Bank is a full service Investment Bank bringing to its clients the global reach and the local knowledge and skills of Kotak Mahindra. As a full service Investment Bank, Kotak Investment Banking’s core business areas include Equity Issuances, Mergers & Acquisitions, Advisory Services and Fixed Income Securities and Principal Business. Its strength lies in understanding the clients’ businesses backed by a strong research teamand an extensive distribution network, which spans a wide variety of investors across the country. It is also the first Indian Investment Bank to be registered with the Securities & Futures Authority in the UK (through our wholly owned subsidiary) and the National Association of Securities and Dealers in the USA.
Its the first Indian Investment Bank to be appointed by the Government of India as a Co-lead Manager in their international divestment of Gas Authority of India Ltd through a GDR offering. Kotak Investment Bank today well positioned in an increasing globalised environment to provide full service to its clients based either in India or overseas Kotak’s International Business With a presence outside India since 1994, the international subsidiaries of Kotak Mahindra Bank Ltd. operating through offices in London, New York, Dubai, San Francisco, Singapore and Mauritius specialize in providing services to specialist overseas investors seeking to invest into India. Investors can access the asset management capabilities of the international subsidiaries through funds domiciled outside India.
They offer asset management services to institutions and high net worth individuals based outside India through a range of offshore Indian funds, as well as through specific advisory and discretionary investment management mandates for institutional investors. The offerings are differentiated India investment solutions that span all major asset classes including listed equity, private equity and real estate. The subsidiaries also lead manage and underwrite international issuances of securities. With its commendable track record, large presence on the ground and a team of dedicated staff in India, Kotak’s international arm is suitably positioned for managing assets in the Indian Capital markets.
The international arm of Kotak operates through the below three subsidiaries: • Kotak Mahindra (UK) Limited (KMUK) • Kotak Mahindra Inc. (KM Inc) • Kotak Mahindra International Limited (KMIL) Kotak Mahindra Prime Ltd. Formed to finance all passenger vehicles. The company is dedicated to financing and supporting automotive and automotive related manufacturers, dealers and retail customers. The Company offers car financing in the form of loans for the entire range of passenger cars and multi utility vehicles. The Company also offers Inventory funding to car dealers and has entered into strategic arrangement with various car manufacturers in India for being their preferred financier.
As on March 31, 2006, KMP has a retail distribution network comprising of 52 branches (including representative offices) covering about 100 locations in 16 states in the country and has a wide network of Direct Marketing Associates, brokers and agencies supporting the distribution network and servicing around 139202 contracts. Kotak Mahindra Prime Limited (KMPL) is a 100% subsidiary of Kotak Mahindra Group (Kotak Group ) Kotak Securities Kotak Securities Ltd. , subsidiary of Kotak Mahindra Bank Ltd. , is one of India’s largest brokerage and distribution house with a market share of around 8. 5 % as on 31st March. Kotak Securities Ltd. has been the largest in IPO distribution.
Kotak Securities has been graced with various accolades the latest being Finance Asia Award (2006) – Best Broker In India and Euro money Award (2006) – Best Provider of Portfolio Management: Equities Kotak Securities Ltd is also a depository participant with National Securities Depository Limited (NSDL) and Central Depository Services Limited (CDSL), providing dual benefit services wherein the investors can use the brokerage services of the company for executing the transactions and the depository services for settling them. Kotak Securities has 195 branches servicing more than 2,20,000 customers and a coverage of 231 Cities. Kotaksecurities. om, the online division of Kotak Securities Limited offers Internet Broking services and also online IPO and Mutual Fund Investments. Kotak Securities Limited manages assets over 2500 crores of Assets Under Management (AUM) . The portfolio Management Services provides top class service, catering to the high end of the market. Portfolio Management from Kotak Securities comes as an answer to those who would like to grow exponentially on the crest of the stock market, with the backing of an expert. Kotak Mahindra Asset Management Company wholly owned subsidiary of Kotak Mahindra Bank Ltd. Kotak Mahindra Mutual Fund launched its Schemes in December 1998 and today manages over Rs. 13,635. 3 crores of assets from close to 4,34,622 investors in various schemes [pic][pic] 1. Kotak Mahindra Capital Company (KMCC) Joint Venture Between:- – Kotak Mahindra Bank- 75% – Goldman Sachs- 25% (Strategic Alliance in 1992 & JV Company in 1995) 2. Kotak Mahindra Primus Ltd. (KMPL) Joint Venture Between:- – Kotak Mahindra Bank- 60% – Ford Credit International- 40% (JV Company formed in 1996) 3. Kotak Mahindra Old Mutual Life Insurance Ltd. Joint Venture Between:- – Kotak Mahindra Bank- 74% – Old Mutual Plc. – 26% (JV Company formed 2000) Vision of kotak Mahindra Old Mutual Life Insurance Ltd. • Global Indian Financial Services Brand Indian understanding : Global standards of Delivery Most Preferred Employer/ Business Partner Home for Bright minds and entrepreneurial skills • Most Trusted Financial Services Company High Standard of Compliance/ Corporate Governance. • Value & not just size – Business Driven with both value and Growth in mind. WHERE IS THE COMPANY STAND TODAY ? • Global expertise in Product Development & Training • Strong suite of Investment cum insurance products • 5th Most Recalled Brand • Value Focused Growth: 6th in size, 2nd in Case size. • Better than average Life Advisor Productivity. THE OUTLOOK MONEY RANKING Kotak Life Insurance has constantly strived to deliver the best to its customers by providing innovative & pragmatic solutions.
We are happy that Outlook Money, India’s no. 1 personal finance magazine, recently recognized our prowess in this field. In its 15th Dec’07 issue, Outlook Money has rated three of our Unit Linked Insurance Plans among the best in the industry. We feel vindicated in our efforts and consider it as another leaf in our efforts and consider it as another leaf in our book of success. We will be most happy to assist you in your search of the right Unit Linked Insurance Plan. Kotak PLATINUM ADVANTAGE Ranked as the No. 1 ULIP The kotak Platinum Advantage Plan, a unique blend of safety and returns is a plan that offers you great choice and tremendous flexibility.
It offers capital protection, embedded investment advice, life cover, flexibility of adjusting risk profile and aggressive market linked growth options-all under one roof. HEADSTART CHILD PLANS Future Protect. Assure Wealth Featured among best child ULIP’s Keeping your child a step ahead of life, is now simple with the Kotak Headstart Future Protect. This is an investment and protection package that is specially designed to help you pan wisely for a financially secure and comfortable tomorrow for your children, no matter what the uncertainty of life. Secure your child’s future with the Kotak Headstart Future Protect Plan today. Kotak PREFERRED TERM PLAN Comes with the Outlook Money stamp of assurance
Kotak Preferred Term Plan is one of the lowest cost term plans in the industry. Here, you have the flexibility to choose between a regular premium payment option or a single premium payment option. Along with competitive returns and transparency. Kotak Preferred Plan could be the best option for your protection needs. Ensure a safe future for your family. Get the Kotak Preferred Term Plan advantage, today. INSURANCE DEFINATION OF INSURANCE :- in its basic form is defined as “ A contract between two parties whereby one party called Insurance insurer undertakes in exchange for a fixed sum called premiums, to pay the other party called insured a fixed amount of money on the happening of a certain event. In simple terms it is a contract between the person who buys Insurance and an Insurance company who sold the Policy. By entering into contract the Insurance Company agrees to pay the Policy holder or his family members a predetermined sum of money in case of any unfortunate event for a predetermined fixed sum payable which is in normal term called Insurance Premiums. Insurance is basically a protection against a financial loss which can arise on the happening of an unexpected event. Insurance companies collect premiums to provide for this protection. By paying a very small sum of money a person can safeguard himself and his family financially from an unfortunate event.
For Example if a person buys a Life Insurance Policy by paying a premium to the Insurance company , the family members of insured person receive a fixed compensation in case of any unfortunate event like death. There are different kinds of Insurance Products available such as Life Insurance, Vehicle Insurance, Home Insurance, Travel Insurance, Health or Mediclaim Insurance etc. Insurance, in law and economics, is a form of risk management primarily used to hedge against the risk of potential financial loss. Insurance is defined as the equitable transfer of the risk of a potential loss, from one entity to another, in exchange for a premium and duty of care. PRINCIPALS OF INSURANCE :- The timing or occurrence of the loss must be uncertain.
The rate of losses must be relatively predictable: In order to set premiums (prices) insurers must be able to estimate them accurately. If the coverage is unique, the insured will pay a correspondingly higher premium. Lloyd’s of London often accepts unique coverage’s. (e. g. , the insuring of Tina Turner’s legs and Jennifer Lopez’s bum) The losses must be predictable on a macro level: Insurers need to know how much they would be required to pay when the insured-for event occurs. Most types of insurance have maximum levels of payouts, but not all do, notably health insurance. The loss must be significant: The legal principle of De minimis dictates that trivial matters are not covered.
Furthermore, rational insurance uses existing insurance when the transaction costs dictate that filing a claim is not rational. The loss must not be catastrophic: If the insurer is insolvent, it will be unable to pay the insured. In the United States, there is a system of Guaranty Funds run at the state level to reimburse insured people whose insurance companies have become insolvent. This program is run by the National Association of Insurance Commissioners (NAIC). To avoid catastrophic depletion of their own capital, insurers almost universally purchase reinsurance to protect them against excessively large accumulations of risk in a single area, and to protect them against large-scale catastrophes. INDEMNIFICATION :-
An entity seeking to transfer risk (an individual, corporation, or association of any type) becomes the ‘insured’ party once risk is assumed by an ‘insurer’, the insuring party, by means of a contract, defined as an insurance ‘policy’. This legal contract sets out terms and conditions specifying the amount of coverage (compensation) to be rendered to the insured, by the insurer upon assumption of risk, in the event of a loss, and all the specific perils covered against (indemnified), for the term of the contract. When insured parties experience a loss for a specified peril, the coverage entitles the policyholder to make a ‘claim’ against the insurer for the amount of loss as specified by the policy contract.
The fee paid by the insured to the insurer for assuming the risk is called the ‘premium’. Insurance premiums from many clients are used to fund accounts set aside for later payment of claims – in theory for a relatively few claimants – and for overhead costs. So long as an insurer maintains adequate funds set aside for anticipated losses, the remaining margin becomes their profit. ORIGINE OF INSURANCE:- Almost 4,500 years ago, in the ancient land of Babylonia, traders used to bear risk of the caravan trade by giving loans that had to be later repaid with interest when the goods arrived safely. In 2100 BC, the Code of Hammurabi granted legal status to the practice. That, perhaps, was how insurance made its beginning.
Life insurance had its origins in ancient Rome, where citizens formed burial clubs that would meet the funeral expenses of its members as well as help survivors by making some payments. As European civilization progressed, its social institutions and welfare practices also got more and more refined. With the discovery of new lands, sea routes and the consequent growth in trade, medieval guilds took it upon themselves to protect their member traders from loss on account of fire, shipwrecks and the like. Since most of the trade took place by sea, there was also the fear of pirates. So these guilds even offered ransom for members held captive by pirates. Burial expenses and support in times of sickness and poverty were other services offered.
Essentially, all these revolved around the concept of insurance or risk coverage. That’s how old these concepts are, really. In 1347, in Genoa, European maritime nations entered into the earliest known insurance contract and decided to accept marine insurance as a practice. The first step… Insurance as we know it today owes its existence to 17th century England. In fact, it began taking shape in 1688 at a rather interesting place called Lloyd’s Coffee House in London, where merchants, ship-owners and underwriters met to discuss and transact business. By the end of the 18th century, Lloyd’s had brewed enough business to become one of the first modern insurance companies. Insurance and Myth… Back to the 17th century.
In 1693, astronomer Edmond Halley constructed the first mortality table to provide a link between the life insurance premium and the average life spans based on statistical laws of mortality and compound interest. In 1756, Joseph Dodson reworked the table, linking premium rate to age. Enter companies… The first stock companies to get into the business of insurance were chartered in England in 1720. The year 1735 saw the birth of the first insurance company in the American colonies in Charleston, SC. In 1759, the Presbyterian Synod of Philadelphia sponsored the first life insurance corporation in America for the benefit of ministers and their dependents.
However, it was after 1840 that life insurance really took off in a big way. The trigger: reducing opposition from religious groups. The growing years… The 19th century saw huge developments in the field of insurance, with newer products being devised to meet the growing needs of urbanization and industrialization. In 1835, the infamous New York fire drew people’s attention to the need to provide for sudden and large losses. Two years later, Massachusetts became the first state to require companies by law to maintain such reserves. The great Chicago fire of 1871 further emphasized how fires can cause huge losses in densely populated modern cities.
The practice of reinsurance, wherein the risks are spread among several companies, was devised specifically for such situations. There were more offshoots of the process of industrialization. In 1897, the British government passed the Workmen’s Compensation Act, which made it mandatory for a company to insure its employees against industrial accidents. With the advent of the automobile, public liability insurance, which first made its appearance in the 1880s, gained importance and acceptance? In the 19th century, many societies were founded to insure the life and health of their members, while fraternal orders provided low-cost, members-only insurance. Even today, such fraternal orders continue to provide insurance coverage to members as do most labour organizations.
Many employers sponsor group insurance policies for their employees, providing not just life insurance, but sickness and accident benefits and old-age pensions. Employees contribute a certain percentage of the premium for these policies. In India… Insurance in India can be traced back to the Vedas. For instance, yogakshema, the name of Life Insurance Corporation of India’s corporate headquarters, is derived from the Rig Veda. The term suggests that a form of “community insurance” was prevalent around 1000 BC and practised by the Aryans. Burial societies of the kind found in ancient Rome were formed in the Buddhist period to help families build houses, protect widows and children.
Bombay Mutual Assurance Society, the first Indian life assurance society, was formed in 1870. Other companies like Oriental, Bharat and Empire of India were also set up in the 1870-90s. It was during the swadeshi movement in the early 20th century that insurance witnessed a big boom in India with several more companies being set up. As these companies grew, the government began to exercise control on them. The Insurance Act was passed in 1912, followed by a detailed and amended Insurance Act of 1938 that looked into investments, expenditure and management of these companies’ funds. By the mid-1950s, there were around 170 insurance companies and 80 provident fund societies in the country’s life insurance scene.
However, in the absence of regulatory systems, scams and irregularities were almost a way of life at most of these companies. As a result, the government decided nationalizes the life assurance business in India. The Life Insurance Corporation of India was set up in 1956 to take over around 250 life companies. For years thereafter, insurance remained a monopoly of the public sector. It was only after seven years of deliberation and debate – after the RN Malhotra Committee report of 1994 became the first serious document calling for the re-opening up of the insurance sector to private players — that the sector was finally opened up to private players in 2001.
The Insurance Regulatory & Development Authority, an autonomous insurance regulator set up in 2000, has extensive powers to oversee the insurance business and regulate in a manner that will safeguard the interests of the insured. KINDS OF INSURANCE :- LIFE INSURANCE :- Life Insurance is insurance for you and your family’s peace of mind. Life insurance is a policy that people buy from a life insurance company, which can be the basis of protection and financial stability after one’s death. Its function is to help beneficiaries financially after the owner of the policy dies. It can also be a form of savings in the long run if you purchase a plan, which offers the option of contributing regularly.
Additionally, a little known function of life insurance is that it can be tied in with a person’s pension plan. A person can make contributions to a pension that is funded by a life insurance company. These are considered private pension arrangements. In addition, you should also make a list of what you feel needs to be protected in your family’s way of life. With a life insurance policy in place, you can: • Provide security for your family • Protect your home mortgage • Take care of your estate planning needs • Look at other retirement savings/income vehicles GENERAL INSURANCE :- Insurance other than ‘Life Insurance’ falls under the category of General Insurance.
General Insurance comprises of insurance of property against fire, burglary etc, personal insurance such as Accident and Health Insurance, and liability insurance which covers legal liabilities. There are also other covers such as Errors and Omissions insurance for professionals, credit insurance etc. Non-life insurance companies have products that cover property against Fire and allied perils, flood storm and inundation, earthquake and so on. There are products that cover property against burglary, theft etc. The non-life companies also offer policies covering machinery against breakdown; there are policies that cover the hull of ships and so on. A Marine Cargo policy covers goods in transit including by sea, air and road.
Further, insurance of motor vehicles against damages and theft forms a major chunk of non-life insurance business. In respect of insurance of property, it is important that the cover is taken for the actual value of the property to avoid being imposed a penalty should there be a claim. Where a property is undervalued for the purposes of insurance, the insured will have to bear a ratable proportion of the loss. For instance if the value of a property is Rs. 100 and it is insured for Rs. 50/-, in the event of a loss to the extent of say Rs. 50/-, the maximum claim amount payable would be Rs. 25/- (50% of the loss being borne by the insured for underinsuring the property by 50%).
This concept is quite often not understood by most insured. Personal insurance covers include policies for Accident, Health etc. Products offering Personal Accident cover are benefit policies. Health insurance covers offered by non-life insurers are mainly hospitalization covers either on reimbursement or cashless basis. The cashless service is offered through Third Party Administrators who have arrangements with various service providers, i. e. , hospitals. The Third Party Administrators also provide service for reimbursement claims. Sometimes the insurers themselves process reimbursement claims. Accident and health insurance policies are available for individuals as well as groups.
A group could be a group of employees of an organization or holders of credit cards or deposit holders in a bank etc. Normally when a group is covered, insurers offer group discounts. Liability insurance covers such as Motor Third Party Liability Insurance, Workmen’s Compensation Policy etc offer cover against legal liabilities that may arise under the respective statutes— Motor Vehicles Act, The Workmen’s Compensation Act etc. Some of the covers such as the foregoing (Motor Third Party and Workmen’s Compensation policy) are compulsory by statute. Liability Insurance not compulsory by statute is also gaining popularity these days. Many industries insure against Public liability. There are liability covers available for Products as well.
There are general insurance products that are in the nature of package policies offering a combination of the covers mentioned above. For instance, there are package policies available for householders, shopkeepers and also for professionals such as doctors, chartered accountants etc. Apart from offering standard covers, insurers also offer customized or tailor-made ones. Suitable general Insurance covers are necessary for every family. It is important to protect one’s property, which one might have acquired from one’s hard earned income. A loss or damage to one’s property can leave one shattered. Losses created by catastrophes such as the tsunami, earthquakes, cyclones etc have left many homeless and penniless.
Such losses can be devastating but insurance could help mitigate them. Property can be covered, so also the people against Personal Accident. A Health Insurance policy can provide financial relief to a person undergoing medical treatment whether due to a disease or an injury. Industries also need to protect themselves by obtaining insurance covers to protect their building, machinery, stocks etc. They need to cover their liabilities as well. Financiers insist on insurance. So, most industries or businesses that are financed by banks and other institutions do obtain covers. But are they obtaining the right covers? And are they insuring adequately are questions that need to be given some thought.
Also organizations or industries that are self-financed should ensure that they are protected by insurance. Most general insurance covers are annual contracts. However, there are few products that are long-term. [pic] Life Insurance is the only Instrument that takes care of all these three Probabilities and two Priorities. Dying too Soon • Everyone KNOWS about it but NO one FEELS about it • Today’s stressful and hectic lifestyle increases its uncertainty • Only 3 out of 4 people reach the age of 60 • Our family will need our Income to maintain the same lifestyle. • Don’t we want them to be happy, not only as long as WE live, but as long as THEY live? [pic] Dying too soon.
Living too Long • Only 3 Out of 10 People enjoy retirement; the others have to suffer it. • Don’t we want to be financially independent even after we stop working? • Look at the – Decreasing rupees value and increasing cost of living – Continuously falling interest rates – Rising medical costs Living too Long Living Death • 6 out of 10 Attentions: from a life –threatening illness before they reach the age of 60. • Critical illness or disability can shatter our dreams for our loved ones • Not only we suffer, but we also have to watch our family suffer. • When the unfortunate event occurs, our income should not stop. Living Death
Children’s Bright Future • Who knows better than you that education and marriage require a lot of money? • There are certain times in our life when we would want your love to be available to your child in the form of hard cash • This is one area where you don’t want to compromise, isn’t it? • You are the source of your children’s happiness-protect it. Children Bright Future Asset and wealth Creation Don’t you want? • A house of your own? • A Comfortable bank balance? • All of life’s comforts, be it a car or a vacation? Asset and Wealth Creation ROLE OF LIFE INSURANCE Role 1: Life insurance as “Investment” Insurance is an attractive option for investment.
While most people recognize the risk hedging and tax saving potential of insurance, many are not aware of its advantages as an investment option as well. Insurance products yield more compared to regular investment options, and this is besides the added incentives (bonuses) offered by insurers. One cannot compare an insurance product with other investment schemes for the simple reason that it offers financial protection from risks, something that is missing in non-insurance products. In fact, the premium one pay for an insurance policy is an investment against risk. Thus, before comparing with other schemes, one must accept that a part of the total amount invested in life insurance goes towards providing for the risk cover, while the rest is used for savings.
In life insurance, unlike non-life products, you get maturity benefits on survival at the end of the term. In other words, if you take a life insurance policy for 20 years and survive the term, the amount invested as premium in the policy will come back to you with added returns. In the unfortunate event of death within the tenure of the policy, the family of the deceased will receive the sum assured. Now, let us compare insurance as an investment options. If you invest Rs 10,000 in PPF, your money grows to Rs 10,950 at 9. 5 %interest over a year. But in this case, the access to your funds will be limited. One can withdraw 50 % of the initial deposit only after 4 years.
The same amount of Rs 10,000 can give you an insurance cover of up to approximately Rs 5-12 lakh (depending upon the plan, age and medical condition of the life insured, etc) and this amount can become immediately available to the nominee of the policyholder on death. Thus insurance is a unique investment avenue that delivers sound returns in addition to protection. Role 2: Life insurance as “Risk cover” First and foremost, insurance is about risk cover and protection – financial protection, to be more precise – to help outlast life’s unpredictable losses. Designed to safeguard against losses suffered on account of any unforeseen event, insurance provides you with that unique sense of security that no other form of investment provides. By buying life insurance, you buy peace of mind and are prepared to face any financial demand that would hit the family in case of an untimely demise.
To provide such protection, insurance firms collect contributions from many people who face the same risk. A loss claim is paid out of the total premium collected by the insurance companies, who act as trustees to the mournies. Role 3: Life insurance as “Tax saver” Section 10(10 D) of Income Tax Act, 1961 would apply. Under this, the amount of maturity value is paid to the policyholder, which is totally tax fee. Section 80C is applicable. Under this a person can invest maximum of Rs. 1 lack. Out of his annual income for which no tax is levied. A survey was conducted on 100 customers of Kotak Mahindra Old Mutual Life Insurance and asked about their preferred insurance benefit.
The survey results are compiled as below: IRDA :- (INDIAN REGULATORY AND DEVELOPMENT AUTHORITY) A strong Regulator that Ensures the Safety of Money. As per the section 4 of IRDA Act’ 1999, Insurance Regulatory and Development Authority (IRDA, which was constitute by an act of parliament) specify the composition of Authority The Authority is a ten member team consisting of (a) A Chairman; (b) Five whole-time members; (c) Four part-time members, M I S S I O N:- To protect the interests of the policyholders, to regulate, promote and ensure orderly growth of the insurance industry and for matters connected therewith or incidental thereto.
At present 19 companies working in this sector that is NAME OF LIFE INSURANCE COMPANY ? Kotak Mahindra Old Mutual Life Insurance Limited ? HDFC Standard Life Insurance Company Ltd. ? Max New York Life Insurance Co. Ltd. ? ICICI Prudential Life Insurance Company Ltd. ? Birla Sun Life Insurance Company Ltd. ? Tata AIG Life Insurance Company Ltd. ? SBI Life Insurance Company Limited . ? ING Vysya Life Insurance Company Private Limited ? Bajaj Allianz Life Insurance Company Limited ? MetLife India Insurance Company Ltd. ? Future Generali India Life Insurance Company Limited ? IDBI Fortis Life Insurance Company Ltd. ? AMP Sanmar Life Insurance Company Limited. Sahara India Insurance Company Ltd. ? Aviva Life Insurance Co. India Pvt. Ltd. ? Shriram Life Insurance Company Ltd. ? Aegon Religare Life Insurance Company Ltd. ? DLF Pramerica Life Insurance Company Ltd. GENERAL INSURANCE ? 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 Insurance Company Limited ? Apollo DKV Insurance Company Limited ? Future Generali India Insurance Company Limited ? Universal Sompo General Insurance Company Ltd. ? Export Credit Guarantee Corporation Ltd. HDFC-Chubb General Insurance Co. Ltd. ? Bharti Axa General Insurance Company Ltd Kotak Life Insurance Build-Up of Business DIFFERENT PRODUCTS OF KOTAK LIFE INSURANCE ? Kotak Smart Advantage ? Kotak Eternal Life Plans ? Kotak Premium Advantage Plans ? Kotak Headstart Child Plans ? Kotak Sukhi Jeevan Plans ? Kotak Privileged Assurance Plan ? Kotak Term/ Preferred Term Plan ? Kotak Money back Plan ? Kotak Child Advantage Plan ? Kotak Endowment Plan ? Kotak Capital Multiplier Plan ? Kotak Retirement Income Plan ( Unit-Linked) ? Kotak Safe Investment Plan 2 ? Kotak Flexi Plan ? Kotak Easy Growth Plan ? Kotak Premium Return Plan ? Riders ? Employee Benefits Kotak Term Grouplan ? Kotak Credit-Term Grouplan ? Kotak Complete Cover Grouplan ? Kotak Gratuity Grouplan ? Keyman Insurance Plan ? Kotak Gramin Bima Yojana WHAT ARE UNIT-LINKED INSURANCE PLANS? Unit-linked insurance plans, ULIPs, are distinct from the more familiar ‘with profits’ policies sold for decades by the Life Insurance Corporation. ‘With profits’ policies are called so because investment gains (profits) are distributed to policyholders in the form of a bonus announced every year. ULIPs also serve the same function of providing insurance protection against death and provision of long-term savings, but they are structured differently.
In ‘with profits’ policies, the insurance company credits the premium to a common pool called the ‘life fund,’ after setting aside funds for the risk premium on life insurance and management expenses. Every year, the insurer calculates how much has to be paid to settle death and maturity claims. The surplus in the life fund left after meeting these liabilities is credited to policyholders’ accounts in the form of a bonus. In a ULIP too, the insurer deducts charges towards life insurance (mortality charges), administration charges and fund management charges. The rest of the premium is used to invest in a fund that invests money in stocks or bonds.
The number of units represents the policyholder’s share in the fund. The value of the unit is determined by the total value of all the investments made by the fund divided by the number of units. If the insurance company offers a range of funds, the insured can direct the company to invest in the fund of his choice. Insurers usually offer three choices — an equity (growth) fund, balanced fund and a fund, which invests in bonds. In both ‘with profits’ policies as well as unit-linked policies, a large part of the first year premium goes towards paying the agents’ commissions. WHY DO INSURERS PREFER ULIPS Insurers love ULIPs for several reasons.
Most important of all, insurers can sell these policies with less capital of their own than what would be required if they sold traditional policies. In traditional ‘with profits’ policies, the insurance company bears the investment risk to the extent of the assured amount. In ULIPs, the policyholder bears most of the investment risk. Since ULIPs are devised to mobilize savings, they give insurance companies an opportunity to get a large chunk of the asset management business, which has been traditionally dominated by mutual funds. KOTAK SMART ADVANTAGE Make every rupee work for your happiness In this policy, the investment risk in the investment portfolio is borne by the policyholder. Why should we invest in kotak smart advantage? Every step in our life brings with it newel earnings.
We are determined to make the best of it, so that we can look forward to a great future. How we shape our tomorrow depends greatly on how we build on our today. Kotak Life Insurance introduces Kotak Smart Advantage, a great combination of investment with insurance, to put our savings to work today. It is a market linked plan with 100% premium allocations helping us to accumulate wealth systematically, over the long-term. Key Highlights • Guaranteed returns of up to 275% of your first year premium at maturity. • Assured bonus additions at regular intervals during the policy term to enhance your fund value. • 100% allocation of your premiums from second year onwards to maximize your earning potential. A unique3 fund offering you the maximum Opportunity for growth. • Option to maximize protection your loved ones. • Tex Benefits to avail under 80 C and section 10 (10D) of the Income Tax Act, 1961. Kotak Smart Advantage- • Guaranteed returns of up to 275% of your first year premium at maturity. • Assured bonus additions at regular intervals during the policy term to enhance your fund value. • 100%1 allocation of your premiums from second year onwards. • Unique fund offering you the maximum opportunity for growth and choice for your investment needs. • Maximum protection for your loved ones to . choose from Kotak Smart Advantage Make every rupee work for your happiness
Every step in your life brings with it new learning’s. You are determined to make the best of it, so that you can look forward to a great future. How you shape your tomorrow depends greatly on how you build on your today. Kotak Life Insurance introduces Kotak Smart Advantage offering you a smart solution to put your savings to work today for a brighter tomorrow. It is a market linked plan with 100%1 premium allocations helping you accumulate wealth systematically, over the long-term. Kotak Smart Advantage is a great combination of investment with insurance Designed to enable you to make the best use of your hard-earned money that puts you right ahead. Note
In this policy, the investment risk in the investment portfolio is borne by the policyholder. Zindagi se ek kadam aagey How does this plan work? Kotak Smart Advantage optimizes the return on your premiums paid through a smart mix of assured additions and 100%1 premium allocation. Your first year’s premium contributes towards guaranteeing you an Assured Addition Advantage that boosts your fund value at regular intervals throughout the term of the policy. The longer your premium paying term, the higher will be the value of the advantage. The Assured Addition Advantage is a powerful combination of two benefits: 1. Fixed Advantage The Fixed Advantage benefit is an assured value guaranteed at the end of your premium payment term.
This benefit is calculated as a percentage of your first year premium depending on the premium payment term chosen, provided your policy is in force and all premiums are fully paid up to date. Premium Payment Term 100% 110% 135% 175% 225% 275% 2. Dynamic Advantage The Dynamic Advantage benefit is an assured bonus addition credited to your fund value at the end of every 10th, 15th, 20th, 25th and 30th policy year. This benefit will be calculated as a percentage of the average value of funds in the three years preceding the benefit allocation, provided your policy is in force and all premiums are fully paid up to date. At the end of Policy Year 1. 10% 1. 35% 1. 75% 2. 25% 2. 75%
The Assured Addition Advantage lets you enjoy the benefits of a fixed assurance and a dynamic benefit directly linked to your fund value, to help you tread comfortably and swiftly towards your goals. Further, the plan makes your money work smarter for you through 100%1 premium allocation in each policy year from second year onwards, in the funds of your choice. On maturity of your policy, you will receive the Fund Value and the Fixed Advantage benefit, provided your premiums are always fully paid up to date. The Dynamic Advantage benefit would have already been credited in the Fund Value at the specified intervals to accumulate more for you at the end. Please Note: Assured Addition Advantage benefit does not apply to premiums paid towards top-ups. What can you gain by investing in Kotak Smart Advantage? Smarter Avenues for Growth
Smart investing is based on the fundamental idea of regular savings and the power of compounding, which is a great way to multiply your money. It makes small savings transform into jackpots if planned with a long-term vision and right investment fund options. Kotak Smart Advantage, with its power-packed and well-defined fund options, gives you unmatched benefits to maximize your earnings potential. Each of these funds is carefully crafted to suit your individual long-term needs. Investment Option Objective Risk-Return Profile Equity Debt Opportunities Fund Aims to maximize opportunity for long-term capital growth by holding significant portions in a diversified and flexible mix of large/medium sized stocks.
Aggressive 75% to 100%, 0% to 25% Dynamic Floor Fund Aims to provide inflation-beating growth over medium to long-term through exposure to largesized company stocks, whilst shielding the capital invested against short-term market volatility. Cautious 0% to 75%, 25% to 100%Dynamic Bond Fund Aims to preserve capital and minimize downside risks by holding investments in debt and government instruments. Conservative – 100% Not more than 40% of the allocated premiums to this fund will be invested in money market instruments. You can distribute your investments across one or more funds based on your needs and goals, keeping in mind your time horizon and risk appetite.
You also have the convenience of switching your monies between funds to balance your needs and risk appetite at different stages of life. • Smarter Financial Protection for your loved ones Kotak Smart Advantage allows you to shoulder all your responsibilities to the fullest. In the unfortunate event of loss of life, your beneficiary will receive a life cover3 benefit equal to the higher of: Basic Sum Assured; OR Fund Value plus the Fixed Advantage benefit. You have the flexibility to choose any multiple of your first year premium as the Basic Sum Assured according to your life stage needs, subject to underwriting conditions. • Smarter Savings to avail Tax Benefits
You can avail of tax benefits under Section 80C and Section 10 (10D) of Income Tax Act, 1961. Tax benefits are subject to change in the tax laws. You are advised to consult your Tax Advisor for details. 3. Enhancing Your Options You can further add value to your plan by opting for these additional features: • Premium Payment Options It is important that your investments are spread out systematically over longer Periods. This makes them affordable and you benefit from the power of Compounding that generates “real” returns by outpacing the cost of living. Kotak Smart Advantage helps you do just that by allowing you to decide the term over which you want to pay the premium. You have an option of 3, 5, 10, 15, 20, 25 or 30 years.
Further, you also have the flexibility to pay premiums at intervals that suit you – annually, half-yearly, quarterly or monthly*. You may change the payment Mode on policy anniversaries. through ECS or SI only. 4 You can invest your surplus funds at any time as Top-ups, thus adding to your savings potential. • Switching between the funds Switch or change in future premium allocation between fund options as per your needs and investment objectives to maximize your returns. • Partial Withdrawals 5 Be able to meet any sudden or unforeseen expenses, from year 4 onwards by Withdrawing up to 10% of the fund value in any policy year. For any withdrawals in excess of this limit, the Fixed Advantage Benefit2 will be revised. Automatic Cover Maintenance 6 Enables your insurance cover to remain intact, whilst your fund balance allows it, should you miss your premium payments or stop them all together. The Assured Addition Advantage2 is revised in the Automatic Cover Maintenance mode. • Settlement Options7 (Available at maturity or Death, as applicable) Provides flexibility to receive your policy benefits in the form of: • A lump sum payment; OR • Equal installments over a maximum period of five years • Free Look Period Offers the option of returning your policy document within 15 days from the date of receipt of the policy if you are not satisfied with the plan. The mount refunded would be the premium paid after adjustments for expenses for medical examination, stamp duty and proportionate risk premium for the period of cover. 5. Eligibility – A Ready Reckoner This simple eligibility table will help you structure the plan as per your requirement. Entry Age Min – 0 years Max – 65 years Maturity Age Min – 18 years Max – 75 years Policy Term Regular – 10 / 15 / 20 / 25 / 30 years For Minors, minimum term – 10 years or 18 less entry age at last birthday, whichever is higher, rounded to the next higher policy term available. Premium Payment Term (PPT) Regular – Full Policy Term Limited Premium Payment – 3 or 5 years (applicable Only with policy terms of 10 / 15 / 20 years)
Minimum Premium Regular PPT – Rs. 10, 000 p. a. Limited PPT – Rs. 36,000 p. a. Basic Sum Assured Min – 0. 5 x Policy Term x Annual premium Max – Any multiple of premium, subject to Underwriting 6. Plan Snapshot 25-year-old Dinesh realizes the benefits of astute financial planning and wants to save for the long term in a systematic way. He is looking for a plan that gives him the comfort that his savings are being put to work from day one and optimizes his growth potential in the long run. Dinesh has found the solution to his needs in Kotak Smart Advantage. Given below is an illustration of the benefits payable to him for an annual premium of Rs. 0,000 for a 30 year term with a guaranteed basic sum assured of Rs. 600,000: Charges • Premium Allocation Charge The first year premium contributes towards guaranteeing you with the Assured Addition Advantage and is not allocated to the investment funds. From year 2 onwards, an allocation charge as a percentage of the premium received is levied. The net premiums will be then allocated at the NAV8 prevailing on the date of receipt of the premiums. The premium allocation charge as a basis of the premium received is shown below: Annual Premium (Rs. ) 2-5 2% Nil 6-10 1% Nil 11+ Nil Nil The allocation charge for each Top-up will be 1% of the Top-up premium. • Fund Management Charge
To manage your money efficiently, an annual charge is levied as a percentage of the fu
