A PROJECT REPORT ON

“A STUDY ON CUSTOMER SATISFACTION OF HEALTH

INSURANCE”

AT

“LIFE INSURANCE CORPORATION, VAPI”

SUBMITTED IN PARTIAL FULFILLMENT OF THE PROJECT IN

BACHELOR OF BUSINESS ADMINISTRATION

PREPARED BY:

MANISHA PARIHAR

TYBBA (SEMESTER 6)

UNDER THE GUIDANCE OF

PROF. ANJALI PATEL

GIDC RAJJU SHROFF ROFEL INSTITUTE OF MANAGEMENT

(BBA PROGRAM)

VEER NARMAD SOUTH GUJARAT UNIVERSITY, SURAT

 ACKNOWLDGEMENT

A Project Report is never successfully completed without the guidance from appropriate
person. So now it's the right time to express my sincere gratitude towards all those, who have
helped me to complete the project.

1 am thankful to our principal DR. PRIYAKANT VED, our in-charge principal and a
distinguished professor of GIDC RAJJU SHROFF ROFEL INSTITUTE OF
MANAGEMENT STUDIES for giving me the opportunity to work on this project. It was a
great learning experience for me and I could actually put in practice, the learning acquired in
classroom.

Also, this project helped me in understanding the overall functioning of the industry. I am
also thankful to my guide PROF. ANJALI PATEL for giving me valuable suggestion
throughout the course of the project.

I am also thankful to entire faculty of the institute and staff member of LIFE INSURANCE
CORPORATION for the advice and suggestions, without which this project would not be
successful one. Last but not the least I would like to appreciate my parents who have always
motivated me directly or indirectly to do my work with utmost dedication.

____________________

MANISHA PARIHAR
 DECLARATION

I MANISHA PARIHAR Student of ROFEL BBA & BCA College, Vapi affiliated to Veer
Narmad South Gujarat University, Surat. Hereby declare that project is solely done by me
and to the best of my knowledge. No such work has been previously submitted by any person
for a degree or diploma at this or any other institution. The information derived from
secondary sources has been duly acknowledged in the text and list of references provided.

____________________

MANISHA PARIHAR
 COLLEGE CERTIFICATE

This is to certify that Miss. MANISHA PARIHAR has satisfactorily completed the Project
work entitled A Customer Satisfaction of Health Insurance" based on the declaration made by
the candidate and my association as a guide for carrying out this work. I recommend this
project report evaluation as a part of the BBA Program of Veer Narmad South Gujarat
University, Surat.

DATE:

PLACE: _________________________

PROF ANJAI PATEL

PROJECT GUIDE

The project is forwarded for evaluation to Veer Narmad South Gujarat University, Surat for
Viva-Voice.

DATE:

PLACE:

_________________________

DR. PRIYAKANT VED

PRINCIPAL
 INDEX

SR.N PARTICULARS PAGE

O NO.

1. Executive Summary 1

2. CHAPTER 1: Introduction To Sector 2

3. CHAPTER 2: Introduction To Company 8

4. CHAPTER 3: Introduction To Health Insurance 23

5. CHAPTER 4: Literature Review 40

6. CHAPTER 5: Research Methodology 45

7. CHAPTER 6: Data Analysis 48

8. CHAPTER 7: Findings And Conclusion 75

9. Bibliography 79

10. Annexure 81
EXECUTIVE SUMMARY
The project is based on the "CUSTOMER SATISFACTION OF HEALTH
INSURANCE" at LIFE INSURANCE CORPORATION OF INDIA (LIC) VAPI is done
to understand the customer satisfaction of health insurance. The study is organized into
seven chapters as:

 The first chapter deals with the introduction to sector are Meaning, History, Founder of
Sector, Organization Sector, SWOT Analysis, Current Scenario, GDP Contribution of
Insurance Sector.
 In the second chapter with the introduction to company profile are Company Profile,
History of Company, Organization Structure of Company, Mission, Vision, Awards,
Rewards, SWOT Analysis, Product of Company, Founder, Address
 The third chapter deals with the theoretical framework are Introduction to Health
Insurance, Introduction to Customer Satisfaction, Meaning, Definition, Features of Health
Insurance, Importance of Health Insurance, Advantages of Health Insurance, Limitations
of Health Insurance, file a claim of LIC, Health Sector in India, Needs of Health
Insurance.
 The fourth chapter deals with the Literature Review.
 The fifth chapter deals with the Research Methodology are Problem Statement, Objective
of Study, Research Design, Types of Data, Data Collection, Technique and Data
Collection Tools, Sampling Design.
 The sixth chapter study data analysis.
 The seventh chapter study findings and conclusion.

1
 CHAPTER: 1
INTRODUCTION TO SECTOR

2
 INTRODUCTION TO SECTOR

 Meaning:
Insurance is a legal contract between two parties the insurance company (insurer) and the
individual (insured), wherein the insurance company promises to compensate for financial
losses due to insured contingencies in return for the premiums paid by the insured individual.

The insurance sector is critical for any country's economic development. A well-developed
insurance sector boosts risk-taking in the economy, as it provides some security in the event
of an unforeseen, loss-causing incident. It also provides much needed support to family
members in the case of loss of health or life. Since the assets under management of insurance
companies represent long-term capital, they also act as a pool in which to invest in long term
projects such as infrastructure development.

The insurance sector in India has also grown along with the country's economy. Several
insurance companies in the country are expanding their operations, across both the public &
private sector.

The insurance sector is made up of companies that offer risk management in the form of
insurance contacts. The basic concept of insurance is that one party, the insurer, will
guarantee payment for an uncertain future event. As an industry, insurance is regarded as a
slow-growing, safe sector for investors.

Insurance Sector in India has seen a major growth in the last decade along with an
introduction of a huge number of advanced products. This has led to a tough competition with
a positive and healthy outcome.

Insurance Sector in India plays a dynamic role in the wellbeing of its economy. It
substantially increases the opportunities for saving amongst the individuals, safeguards their
future and helps the insurance sector from a massive pool for funds.

With the help of these funds the insurance sector highly contributes to the capital markets,
thereby increasing large infrastructure in India. The Indian insurance sector is on a path of
growth, transformation & profitability. The government initiatives, along with the recent
developments in the key players and trends in the industry.

3
 INSURANCE SECTOR INDIAN HISTORY

 1818
In 1818, the first insurance company in India was established in Calcutta, The Oriental Life
Insurance Company. Similarly, Bombay (Mumbai) had the Bombay Life Assurance
Company & Madras (Chennai) had the Madras Equitable Assurance Company, which were
started in 1823 & 1829 respectively. In the initial days, Indians had to pay an extremely high
premium than compared to the British residents. It was the Bombay Life Assurance
Company, which became the first insurance company established by an Indian that started
insuring Indians without charging extra premiums.

 1912

During the initial year of this century, the industry was highly unregulated. It was only in
1912 that the Indian Life Insurance Companies Act, 1912 was passed. This Act structured
insurance and made it mandatory for premiums and company valuations to be certified by an
actuary.

 1938

By 1938, there were around 176 insurance companies in India with the total business valuing
around Rs. 300 crores. It was around the same time that the Insurance Act of 1938 was
passed. This was the first piece of legislation covering both life insurance & general
insurance.

 1950

While the demand for nationalization of insurance companies had been going on for a while,
it was only with the passing of the LIC Act of 1956 that nationalization of insurance as
finally achieved. On September 1, 1956, the Life Insurance Corporation of India (LIC of
India) was established with the intent of covering all Indians across the length & breadth of
the nation.

4
  1972

In 1972, the General Insurance Business Act was passed which nationalized all general
insurance companies in India. The 107 odd companies existing around the time were all
merged into four companies:

→ New India Assurance Company Ltd.

→ National Insurance Company Ltd.

→ Oriental Insurance Company Ltd.

→ United India Insurance Company Ltd.

 1999

As per the recommendation made by the Malhotra Committee, two things happened in the
year 1999; one, the private sector was permitted to enter the insurance business and two, the
Insurance Regulatory & Development Authority of India (IRDAI) was constituted. IRDAI
was incorporated in April 2000 and is now an autonomous body that works towards growing
the insurance industry.

5
 SWOT ANALYSIS OF INSURANCE SECTOR:
In past articles we have recommended that agencies perform a SWOT Analysis on
themselves as part of the firm's yearly business planning. SWOT Analysis is a very
effective way identifying a business Strength & Weakness as well as examining the
Opportunities & Threats that the firm might face.

Financial Fraud cases

protection It's expensive
Newer products Not fully
inclusive

strength weakness

opportunit threats
ies

Emerging Dynamic
economies environment
Target Market/brand
individuals decline

 Strengths:
 Financial Protection.
 Takes care of Business property
 Newer Products.

 Weakness:
 Fraud Cases
 Not Fully inclusive.
 It is expensive.

 Opportunities:

6
  Emerging Economics.
 Target Individuals.
 Digital Insurance.

 Threats:
 Dynamic Environment.
 Extreme Competition
 Market/ Brand Decline

 GDP CONTRIBUTION OF INSURANCE SECTOR:

Currently, the insurance penetration in India is 4.2% of the gross domestic or product
(GDP) as against the world average which is 7%. The life insurance sector in India is
growing at 11% to 12%. General insurance is growing at 21.13% per annum.

 PRESENT SCENARIO OF INSURANCE SECTOR:

With the advent of technology, more customers are going digital for their insurance
needs. The young generation understands the importance of insurance. In fact, it is
most likely to get one to cover themselves and their families this the older generation.
They are more aware of the importance of saving money. They know that unforeseen
circumstances could arise at any time in life and increase their risk of financial ruin.
The number of companies that provide you with the ability to purchase a policy online
has grown substantially in recent years. This is largely due to the fact that it's cheaper
and easier than using traditional methods such as visiting a local insurance provider's
office and browsing through their catalogue of insurance solutions.

7
 CHAPTER: 2
INTRODUCTION TO
LIFE INSURANCE
CORPORATION OF INDIA

 COMPANY PROFILE:
8
Life Insurance Corporation of India, owned by Government of India, is a provider of life
insurance plans. The company offers health insurances plan, endowment plans, money
back plans, term insurance plans, pension plans, special plans, unit plans, group schemes,
child plans. It operates through zonal offices in Mumbai, Kolkata, Chennai, Hyderabad,
Delhi, Kanpur, Bhopal & Patna. LIC offers insurance products in India through associates
& agents. The company and its associates also have operations in Fiji, Mauritius, the UK,
Bahrain, the UAE, Kuwait, Qatar, Oman, Nepal, Sri Lanka, Saudi Arabia and Kenya. LIC
is headquartered in Mumbai, India.

• Type: Indian Statutory Insurance & Investment Corporation

• Industry: Insurance & Finance Services
• Founded: 1 September 1956
• Founder: Government of India
• Headquarters: Mumbai, India
• Products: Health Insurance, Travel Insurance, Accidental Insurance

 COMPANY HISTORY:

Life Insurance in its modern form came to India from England in the year 1818. Oriental
Life Insurance Company started by Europeans in Calcutta was the first life insurance
company on Indian Soil. All the insurance companies established during that period were
brought up with purpose of looking after the needs of European community and Indian
natives were not being insured by these companies. However, later with the efforts of
eminent people like Babu Muttylal Seal, the foreign life insurance companies started
insuring Indian lives. But Indian lives were being treated as sub-standard lives and heavy
extra premium were being charged on them. Bombay Mutual Life Assurance Society

9
heralded the birth of first Indian Life Insurance Company in the year 1870, and covered
Indian lives at normal rates. Starting as Indian enterprise with highly patriotic motives,
insurance companies came into existence to carry the message and social security through
insurance to various sectors of society. Bharat Insurance Company (1896) was also one of
such companies inspired by nationalism. The Swadeshi Movement of 1905-1907 gave
rise to more insurance companies. The Life Insurance Companies Act, 1912 made it
necessary that the premium rate tables and periodical valuations of companies should be
certified by an actuary. But the Act discriminated between foreign and Indian companies
at a disadvantage.

LIC had 5 zonal offices, 33 divisional offices and 212 branch offices, apart from its
corporate offices in the year 1956. Since life insurance contracts are long term contracts
and during the currency of the policy it requires a variety of services need was felt in the
latest years to expand the operations and place a branch office at each district headquarter
re-organization.
Servicing functions were transferred to the branches, and branches were made accounting
units. It worked with the performance of the corporation. It may be seen that from above
200,00 crores of New Business in 1957 the corporation crossed 1000,00 crores only in the
year 1969-70, and it took another 10 years for LIC to cross 2000,00 crore mark of new
business. But with re-organization happening in the early eighties, by 1985-86 LIC had
already crossed 7000.00 crores Sum Assured on new policies.

Today LIC functions with 2048 fully computerized branch offices, 113 divisional offices,
8 zonal offices, 1381 satellite offices and the corporate office. LIC's Wide Area Network
covers 113 divisional offices and connects all the branches through a Metro Area
Network. LIC has tied up with some Banks and Services providers to offer on-line
premium collection facility in selected cities.

LIC's ECS and ATM premium payment facility is an addition convenience. Apart from
on- line Kiosks and IVRS, Info Centre have been commissioned at Mumbai, Ahmedabad,
Bangalore, Chennai, Hyderabad, Kolkata, New Delhi, Pune and many other cities. With a
vision of providing easy access to its policyholders, LIC has launched its SATELLITE
SAMPARK offices. The satellite offices are smaller, leaner and closer to the customer.

10
LIC continues to be the dominant life insurer even in the liberalized scenario of Indian
insurance and is moving fast on a new growth trajectory surpassing its own past records.
LIC has issued over one crore policies during the current year. It has crossed the
milestone of issuing 1,01,32,955 new policies by 15 Oct, 2005, posting a healthy growth
rate of 16.67% over the corresponding period of the previous year.

From then to now, LIC has crossed many milestones and has set unprecedented
performance records in various aspects of Life insurance business. The same motives
which inspired our forefathers to bring insurance into existence in this country inspire as
at LIC to take this message of protection to lamps of security in as many homes as
possible and to help the people in providing security in their families.

 INTRODUCTION TO BRANCH
 LIFE INSURANCE CORPORATION OF INDIA (VAPI/868)
The Life Insurance Corporation branch of Vapi (868) is operating since 1981. LIC of
India in Vapi, Valsad is a top player in the same category. This is well-known
establishment acts as a one-stop destination servicing customers both local and from
other parts of Vapi, Valsad.

In Vapi. Valsad, this establishment occupies a prominent location in Vapi. It is an

effortless task in commuting to this establishment as there are various modes of
transport readily available. It is at Vapi Town, Nehru Road, which makes it easy for
first-time visitors in locating its establishment. The current chief manager of this
branch is Smt. Shirley Fernandes.

It is known to provide wide range of products and services to cater to the varied
requirements of their customers. The staffs of branch are courteous and prompt at
providing any assistance. They readily answer queries or questions that you may have.
You can pay for the products or service with ease by using any of the available modes
of payment, such as cash, cheques or online.
 Some of the important milestones in the life insurance business in India are:

11
 o 1818: Oriental Life Insurance Company, the first life insurance company on
Indian soil started functioning.

o 1870: Bombay Mutual Life Assurance Society, the first Indian life insurance
company started its business.

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

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

o 1938: Earlier Legislation consolidated and amended to by the Insurance Act with
the objective of protecting the interests of insuring public.

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

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

 ORGANIZATION STRUCTURE:

To perform the functions of the Life Insurance Corporation of India, a committee

consisting of 15 members is appointed by the Central Government. One of these members
is also appointed as the chairman; the organization structure of Life Insurance
Corporation of India has four-tier structure. They are 1. Central Office 2. Zonal Offices
(eight) 3. Divisional Offices (113) 4. Branch Offices (2048). The Central Office is to
perform the activities relating its investments, framing and administrating the rules and
laws of the corporation. Branch Offices carryout almost 90% of the functions related to

12
policyholders. There are eight Zonal Offices and 113 Divisional Offices, which are
established on the basis of Geographical areas. They are discharging their coordinating
functions relating to the Central Offices and Zonal Offices. The Central Office of Life
Insurance Corporation of India is located in Mumbai. There are seven executive
committees appointed by the Government of India from time to time to review the
activities of the Life Insurance Corporation of India.

central
office
zonal
offices
divisional
offices

branch offices

 LIC Mission Statement:

13
Ensure and enhance the quality of life of people through financial security by
providing products and services of aspired attributes with competitive returns, and by
rendering resources for economic development.

 LIC Vision Statement:

A trans-nationally competitive financial conglomerate of significance to societies and

Pride of India. LIC of India is the one and only public sector in the life insurance
company in India.

 Achievement & Awards:

1. Readers Digest Trusted Brand Award 2008 in the Platinum Category

2. CNBC Avaaz Consumer Awards 2008
3. Golden Peacock Innovative Product/Service Award-2009
4. Loyalty Award 2009
5. ET Brand Equity Award for Top Brand in Insurance Category
6. Outlook Money Award for Best Life Insurer

14
 7. AIMA High Performance Award
8. Readers Digest Trusted Award
9. Power Brand Award
10. Global Youth Marketing Award for Most preferred Life Insurance Company
11. Shoppers & Consumers Insight Award
12. MY FY Stars of Industry Award for Excellence in Life Insurance
13. World Brand Congress Award for Brand Excellence
14. World HRD Congress Award for Innovative HR practices
15. ABCT Award for House Magazine Yogakshema
16. INDY's Gold Award for House Magazine Yogakshema
17. No.1 among "India's Top 50 Service Brand" in Pitch/IMKB International Survey
18. NDTV Profit Business Leadership Award
19. IT USER 2008 NASSCOM Award
20. Customer & Brand Loyalty Award 2008 in the life Insurance category from India
times Mindscape

 REWARDS:

LIC Credit Card Reward Points

LIC offers a handicapped Rewards Programme for its credit cardholders. Customers can
benefit from earning reward points for every rupee spent on the LIC Credit Card. Extra
rewards points can be earned on LIC premium payments and international spends.
Customers can browse through rewards catalogue available online and select the products
they wish to redeem their points against.

Each product or voucher has a different number of points required. LIC offers a host of
products that range across home, kitchen, health, and lifestyle.

15
  SWOT ANALYSIS:
Branding
Funding base Poor publicizing
System of Overhead
specialists expenses

strength weakness

opportunit threats
ies

Cyber security Competition

Online services Technology

 STRENGTH

The qualities are characterized by what each organization accomplishes best, which can give it
the high ground over it rivals. The accompanying of LIC is:

 The biggest protection supplier in India: LIC as of now overseas skillet India tasks
with 2108 completely automated PCs in branches, 8 region workplaces, 2048 branches,
1381 satellite workplaces and focal workplaces. The entire nation is characterized in the
54 client zones and the 25 metropolitan territories with administration focuses dependent
on a few urban communities and having a place with India. Right now, LIC has 1,33,064
individual operations, 242 organization specialist, 89 referral specialists, 98 merchants &
42 banks for the clearance of disaster protection to the overall population.

 Branding: LIC has solid brand picture in India. The motto is Yogakshemam
Mahamyaham which implies that the prosperity of everything is great perceived. The
Time of Brand Equity overview of the year 2015 has assigned LIC as the most
dependable protection supplier in India

16
  Funding Base: LIC has an expensive base reserve of roughly $ 150 billion. It is likewise
the biggest financial specialist in India, making it an incredibly ground-breaking nation in
the field of fund in India.

 A system of specialists: LIC has around 1,337,064 individual operators, 242 corporate
specialists, 89 reference operators, 98 representatives and 42 banks in India, covering all
pieces of the nation.

 WEAKNESS:

Shortcomings are utilized to distinguish zones in which the organization or brand should be
improved. The principle shortcomings of LIC are:

 Culture: Low-pay nations have been intently connected with the administration and have
an extremely moderate and moderate work culture. It fills in as a shortcoming when
contrasted with current private insurance agencies that are devotees of the system.
 Poor publicizing procedure: Compared to its private partners, LIC does not spend a lot
on promoting, and the nature of the ads it publicizes mirrors this.
 Too numerous limitations: The organization has numerous confinements to force as an
administration substance and there are dependably issues of organization. To back off
basic leadership at LIC.
 Overhead expenses: LIC has an immense workforce of representatives and the vast
majority of them work from their very own offices. Their installments & the executives
are frequently a major test for the organization.

 OPPORTUNITIES:

Openings allude to circumstances in the earth encompassing a business that can profit by
expanded returns.

 Cyber Security: The numerous instances of PC dangers and security framework

infringement. In this way, the age when digital security is the danger insurance strategies
against this can turn out to be a colossal chance.

17
  Online Services: As online administrations developed, clients started to look for an
increasing number of choices, For Example, protection and mindfulness levels. The most
noteworthy as the main days. This is an open door for provides like LIC, which utilize a
great deal for work, to decrease costs by supplementary clients with innovation.
 A Shifting from security to anticipation: There is general move in the pattern from
assurance to aversion, provoking insurance agencies to concentrate more or hazard
counteractive action than on hazard relief arrangements.
 More discretionary cash flow: Today, protection isn't seen as security, yet in addition as
a type of speculation. By benefiting from the new methodology, insurance agencies can
structure new items.

 THREATS:

Dangers are the normal factors that can decide the development of the business. Dangers include:

 Competition: With the privatization of protection, LIC has lost its previous greatness and
appearances wild challenge from private protection that has conveyed more glory to the
businesses.

 Change of Government: With each new government, financial and money related
strategies change, with the outcome that approaches must be reformulated as needs be.
This makes a great deal of stresses.

 Technology: Today, most money related administrations make innovation an essential

piece of their business through web-based banking and online monetary financier
administrations. Be that as it may, LIC still has a great deal to do stay aware of the
innovation.

 PRODUCTS OF LIC
18
As individuals it is inherent to differ. Each individual's insurance needs and requirements
are different from that of the others. LIC's Insurance Plans are policies that talk to you
individually and give you the most suitable options that can fir your requirement. There
are five different types of life insurance policies available, and here are their features and
benefits

 Term Plan:
A term insurance policy is a pure life cover and its structure is very simple to understand.
You pay a premium to an insurance company for a specific number of years and in return,
in case you were to meet with an untimely death, the insurer promises to pay the sum
assured to your family. It does not come with any maturity benefit.
Benefits of Term Insurance Plan: It provides higher cover for lesser premium as
compared to other life insurance products. TROP comes with a maturity benefit which is
as the sum total of all premiums paid. No interest amount is paid on that.

 Plan: Saral Jeevan Bima (859)

Product Summary: SARAL JEEWAN BIMA plan number 859 this is a Non-Linked.
Without Profits, Pure Risk Cover Plan. Waiting Period: 45 Days from date of acceptance
of proposal. Premium Payment Mode: can be paid either under Regular Premium,
Limited Premium or Single Premium payment options under this plan. In case of Regular
and Limited Premium Payment, the premium can be paid regularly during the Premium
Paying Term with modes of premium payment yearly, half-yearly, and monthly

 Plan: Jeevan Amar (855)

Product Summary: JEEVAN AMAR plan number 855 is a Non-Linked, Without Profit,
Pure Protection Plan. Under this plan there is flexibility to choose from two death benefit
options viz. Level Sum Assured and Increasing Sum Assured.
Under this plan, there are two categories of Premium rates viz. 1. Non-Smoker Rates 2.
Smoker Rates. Premium Payment Mode: Premiums can be paid either under Regular
Premium, Limited Premium or Single Premium payment options under this plan.
In case of Regular and Limited Premium Payment, the premium can be paid regularly
during the Premium Paying Term with modes of premium payment yearly of half-yearly.

 Whole Life Insurance Policy:

19
As the name suggests, a whole life insurance policy give you a cover for life. If the
premium amount is paid regularly, the insurer promises to pay the sum assured to the
nominee of the policyholder after the death of the policyholder. Apart from the sum
assured, it also includes a saving component
Benefits of Whole Life Insurance Policy: Unlike other insurance policies, it does not have
a definite term. The sum assured is paid to the dependent upon the death of the
policyholder Apart from the sum assured upon your death, it also has a saving
component. You can re- invest it letting the cash amount grow or can remit a part of the
cash value during the lifetime you can avail a loan against the saving component.

 Plan: Jeevan Umang (945)

Product Summary: Jeevan Umang Plan (945) is a non-linked, with -profit whole life
assurance plan. The plan provides for annual survival benefits from the end of the
premium paying term till maturity and lump sum payment at the time of maturity or on
death of the policyholder during the policy term.

 Endowment Policies
Endowment plans are again a combination of savings and protection. If the premiums are
paid on schedule for a specific number of years, insurance promise to pay the assured sum
to the nominee in case of the untimely death of the policyholder Meanwhile, if the
policyholder survives the policy term, he/she receives a lump sum payout as the maturity
benefit. Benefit of Endowment Policies: Apart from the sum assured there is a saving
component. You can use this to make goal-based savings and in case of financial
emergencies, you can avail of a loan against it.
 Plan: New Endowment (914)
Product Summary: New Endowment Plan (914) is a regular premium, non-linked, with
profits Endowment Plan.

 Plan: Jeevan Anand (915)

Product Summary: New Jeevan Anand (915) Plan is a participating non-linked plan
which offers an attractive combination of protective and savings. This combination
provides financial protection against death throughout the lifetime of the policyholder
with the provision of payment of lump sum at the end of the selected policy term in case
of his or her survival

20
Premium Payment Mode: Yearly, Half yearly, Quarterly, Monthly (ECS)

 Money back policy:

Money back policies are also a combination of savings and protection. But the key
advantage of this policy is that a portion of the sum assured is paid to you at a regular
interval during the policy tenure. The remaining amount along with the bonus is paid at
maturity. This benefit is not available for any other life insurance policy. However, if the
policy holder dies during the policy tenure than the entire sum assured is paid to the
nominee, Benefit of money back policies: The biggest advantage of money back polices
is the liquidity it provides, i.e. you receive a percentage of the sum assured at the regular
interval.

 Plan: 20 YEARS MONEY BACK (920)

Product Summary. This is a Limited Premium Payment, Non-Linked, With Profit Money
Back Plan.

 Plan: Bima Bachat (916)

Product Summary: It is a Single Premium, Non-Linked, With Money Back Plan Type.

 Plan: Child Money Back (932)

Product Summary: New Children Money Back is a non-linked, with profits, regular
premiums payout money back plan.

 Unit Linked Insurance Plans (ULIPs):

Unit Linked insurance plan, better known as ULIP, is a combination of insurance and
investment. The investments are made in debt and equities by a fund manager assigned by
the insurance provider. However, the policyholders can choose whether he/she wants to
invest in debt or equity and in what proportion. Though there are no guaranteed returns, a
lump sum amount is paid to the policyholder at maturity.

Benefits of ULIP: Though there is no guaranteed return, ULIP provides a higher return
than traditional policies with a saving component.

 Nivesh Plus (849)

21
Product Summary: It is a single Premium unit-linked policy that offers the ability to
increase your money and to have life cover. This plan gives you the option of selecting
the sort of Sum Insured at the start, as well as investing the premium in one of four
different types of investment funds.

 Slip (852)
Product Summary: This plan gives you the option of selecting the sort of Sum Insured at
the start, as well as investing the premium in one of four different types of investment
funds.

 Founder of Life Insurance Corporation of India:

Surendranath Tagore had founded Hindustan Insurance Society, which later became
Life Insurance Corporation. The Bombay Mutual Life Assurance Society, formed in
1870, was the first native insurance provider.

 Address Of Life Insurance Corporation (LIC)

Jeevan Bima Marg, Nariman Point, Mumbai, Maharashtra-400021

22
 CHAPTER: 3
HEALTH INSURANCE

23
 INTRODUCTION TO HEALTH INSURANCE:

 Health insurance or medical insurance is a type of insurance that covers the whole or
a part of the risk of a person incurring medical expenses. As with other types of
insurance is risk among many individuals. By estimating the overall risk of health risk
and health system expenses over the risk pool, an insurer can develop a routine
finance structure, such as a monthly premium or payroll tax, to provide the money to
pay for the health care benefits specified in the insurance agreement. The benefit is
administrated by a central organization, such as a government agency, private
business, or not-for-profit entity.

 According to the Health Insurance Association of America, health insurance is

defined as "coverage that provides for the payments of benefits as a result of sickness
or injury. It includes insurance for losses from accident, medical expense, disability,
or accidental death and dismemberment."

 INTRODUCTION TO CUSTOMER SATISFACTION

Customer Satisfaction, a term frequently used in marketing, is a measure of how products

and services supplied by a company meet or surpass customer expectation. Customer
satisfaction is defined as the "the number of customers, or percentage of total customers,
whose reported experience with a firm, its products, or its services exceeds specified
satisfaction goals." It is seen as a key performance indicator within business and is often
part of a Balanced Scoreboard. In a competitive marketplace where businesses compete
for customers, customer satisfaction is seen as a key differentiator and increasingly has
become a key element of business strategy.

24
 What is Customer?

A customer is an individual or business that purchases another company's goods or

services. Customers are important because they drive revenues; without them, businesses
cannot continue to exist.
 What do you mean by Satisfaction?

Satisfaction is the act of fulfilling a need, desire, or appetite, or the feeling gained from
such fulfillment. Satisfaction means you've had enough in a good way When a product
says "satisfaction granted" it means you'll like it or they'll give you money.

 Meaning of Health Insurance:

Health insurance is a type of insurance that covers medical expenses that arise due to an
illness. These expenses could be related to hospitalization costs, cost of medicines or
doctor consultation fees.

Health Insurance policy by LIC available in Individual as well as Family Floater Plans,
with benefits such as cashless hospitalization, reinstatement of base sum insured, pre and
post hospitalization expenses, and numerous other add-on features.

 FEATURES OF HEALTH INSURANCE:

With the hectic life style schedule of individuals, the risk of the person suffering from a
disease also has gone up.
As the cost of living has gone up in metros and other cities, along with-it medical
expenses are sky-rocketing. So, the best advisable thing is to opt for health insurance and
cover the medical costs thereby saving money and other resources in times of emergency.
There are various plans available to the insurer provided by government and private
health insurance provides to cover every aspect of a medical emergency. Keeping in mind
the needs of the individuals, the health insurance companies have come out with various
plans to suit individuals, family members, group of people, and senior citizens. Salient

25
 features of health insurance and the various plans offered by health insurance companies
are described below:

 Salient Features of Health Insurance:

 Pre and Post Hospitalization: This feature covers pre and post hospitalization charges
for a month or 60 days and the person is reimbursed after submitting bills and other
expense related documents incurred during the period of hospitalization.

 Cashless treatment: This feature allows the benefit to get submitted to any listed hospital
as per the list of hospitals of the insurance provider without paying anything for
treatment. This saves the relatives and friends of the person who has been admitted with
stress of arranging money in case of emergency.

 PLANS:

 Individual Health Insurance Plans:

This policy covers take care of the expenses incurred by an individual in case of
hospitalization and is designed to cover various illness with cashless hospitalization and
pre and post hospitalization expenses. There are various riders or top-up plans also
available along with these plans to individuals which they can opt for.

 Surgery & Critical Illness Policy:

This plan takes care of the life-threatening diseases like cancer, heart attack, brain tumors
and kidney failures. This plan can be taken as a stand-alone policy or can be added as a
top-up to the existing policy. The premium paid by the policyholder is high in such a plan
for the expenses incurred in treatment of the diseases is on the higher side.

26
 Pre-Existing Disease Cover:
This policy covers pre-existing diseases a person suffers before buying the policy. The
diseases can be lifestyle diseases also. The various aliments which a person suffers can be
diabetes, hypertension, kidney failure, cancer etc. before the policy come into effect.

 Family Floater Mediclaim:

This policy caters to the family members of the policyholder. People who worry about
their families can opt for these plans for it covers all family members against diseases
under a single cover. The benefit of this cover is that a stipulated sum is insured for the
entire family members that can be availed either by an individual member or as a sum
total for treatment of one person.

 Senior Citizen Health Plan:

This plan takes care of people who have reached old age and their medical expenses can
be take care of via such plans. As per the rule, every health insurance company should
offer cover to individuals till 65 years of age.

 ADVANTAGES OF HEALTH INSURANCE:

 There are probably uncountable things which have undergone changes ever since the
existence of civilization. However, amid these developments, one thing that continues
to persist is one's strong willingness to protect his/her family. The well-being of one's
family is a matter of concern for every individual, even today. Thereby, as a normal
practice, people have started investing in health insurance to insure their family's
heath.

 With a big change in our lifestyle, having a health insurance has become extremely
essential for one and all. But, before you put in your hard-earned money in buying a
family health insurance policy, invest some time in comparing the policies of each
insurance company. A good comparative study is probably the best guide which helps
you distinguishing between different insurance policies. It also helps you identify the
policy that suits your needs the best way, thus, assist you in getting maximum benefits
out of a family health insurance policy.

27
 Some of the benefits of health insurance policy are as follows:

 Cashless Hospitalization: More the number of network hospitals, easier will be your
life! Cashless Mediclaim policy provided by LIC of India offers cashless hospitalization
that is available only in network hospitals. Under this facility you may not do an upfront
payment for hospitalization and still avail best possible treatments available in the
respective network hospital.

 Old age incentives: You may also find incentives for old aged individuals in some
specific polices. For instance, no pre-medical test for people up to the age of 55 years (as
per the last birthday.)

 Tax benefit: Today, even the government is encouraging people to take up health
insurance policies by offering them exemptions under Make-Maximum Tax-Benefit from
Health- Insurance Plans. Buying a health insurance policy is not only an investment but
also a step towards a better future. Like life insurance, a good health insurance policy also
assures yourself piece of mind. At the same time, it also provides an umbrella for your
family.

 LIMITATIONS OF HEALTH INSURANCE:

 As you might expect, the greatest disadvantage of private health insurance can be the
cost. This is especially true if you are in poor health and do not have access to
group coverage of any kind. Many individuals’ policies can cost several hundred
dollars a month, and family coverage can be even higher. And even the more
comprehensive polices come with deductibles and co-pays that insureds must most
before their coverage kicks in.

 Most health insurance policies don't offer coverage for all types of diseases and
conditions Those who need care that falls into one of the gaps that are written into
these policies are on their own when it comes to paying for certain medical services.
Furthermore, the cost of healthcare has risen much faster than the general rate of
inflation and this tend shows no sign of slowing.

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 LIFE INSURANCE CORPORATION OF INDIA (LIC) HEALTH
INSURANCE PLANS

Health insurance plans offers policyholders coverage against expenses that they might
have to incur as a result of a planned or unplanned hospitalization. In health insurance
policies provide a range of other benefits, such as cover against pre- and post-
hospitalization expenses, ambulances charges, a no-claim bonus, etc. The Life Insurance
Corporation of India (LIC), a company which primarily provides life insurance solutions
to Indian citizens, also offers customers a selection of health insurance plans.

List of Health Insurance Plans provided by Life Insurance Corporation of India

(LIC)

1. LIC's Jeevan Arogya Plan

The Jeevan Arogya Plan from LIC is a non-linked, non-participating, health insurance
plan which provides policyholders a health cover against specific health risks and
medical emergencies. Policy buyers can insurer themselves, their spouse, children,
parents and parents-in-law, under this policy. The plan provides a wide range of
benefits to policyholders including an annually increasing health cover, payment of a
lump sum benefit, flexible payment options, and varying benefit limits to choose
from.

29
Benefits of LIC's Jeevan Arogya Plan:

 Hospital Cash Benefit:

In the event of Accidental Bodily Injury or Sickness first occurring or manifesting
itself on or after the Effective Date of Cover and during the Cover Period causing an
Insured's Hospitalization to exceed a continuous period of 24 hours within the Cover
Period, then to benefit Limits and Conditions, Waiting Period and Exclusions of the
policy, the Daily Benefit is payable by the Corporation as follows, regardless of the
actual costs incurred:

1.In case of Hospitalization in the general or special ward (Le. a non-Intensive

Care Unit ward/room of a hospital:
The Applicable Daily Benefit in a Policy Year, for each continuous period of 24 hours
or any part thereof provided any such part stay exceeds a continuous period of 4 hours
of Hospitalization necessitated solely by reason of the said Accidental Bodily Injury
or Sickness, shall be payable.

2. In case of Hospitalization in the Intensive Care Unit of a Hospital:

Two times the Applicable Daily Benefit reckoned under Condition 11 for such
continuous period of 24 hours or part thereof (after having completed the 24 hours)
provided any such part stay exceeds a continuous period of 4 hours of Hospitalization
in the Intensive Care Unit of a Hospital during any period of Hospitalization
necessitated solely by reason of the said Accidental Bodily Injury or Sickness shall be
payable.

3.Combined stay in Non-ICU and ICU ward/room:

During one period of 24 continuous hours of Hospitalization, if the said
Hospitalization included stay in an Intensive Care Unit as well as in any other
inpatient ward of the Hospital, the Corporation shall pay benefits as if the admission
was to the Intensive Care Unit provided that the period of Hospitalization in the
Intensive Care Unit was at least 4 continuous hours.

30
 Major Surgical Benefit:
In the event of an Insured under this Policy due to medical necessity undergoing any
specified Surgery (as mentioned in the Major Surgical Benefit Annexure) within the
Cover Period in a Hospital due to Accidental Bodily Injury or Sickness first occurring or
manifesting itself on or after the Effective Date of Cover and during the Cover Period
then, subject to Benefit Limits and Conditions, Waiting Period and Exclusions of this
Policy, a percentage (as mentioned in the Major Surgical Benefit Annexure against the
specified Surgery performed) of the Major Surgical Benefit Sum Assured shall be payable
by the Corporation, regardless of the actual costs incurred. Where, Major Surgical Benefit
Sum Assured is equal to 100 times the Applicable Daily Benefit for that Policy year in
respect of each Insured.
 Hospital Cash Benefit will be paid over and above the lump sum Major Surgical
Benefit based on the length of stay in the hospital.

→The following benefits shall also be available under Major Surgical Benefit:

 Ambulance Benefit:
In the event that a Major Surgical Benefit (as mentioned in the Major Surgical
Annexure) is payable and emergency transportation costs by an ambulance have been
incurred, an additional lump sum of Rs. 1000 will be payable in lieu of ambulance
expenses.
 Premium Waiver Benefit:
In the event that a Major Surgical Benefit falling under Category 1 or Category 2 (as
mentioned in the Major Surgical Benefit Annexure) is payable in respect of any
Insured, the total annualized premium i.e. total one year premium in respect of this
Policy from the installment premium due date coinciding with or next following the
date of the surgery will be waived.

 Day Care Procedure Benefit:

31
 In the event of an Insured covered under this policy due to medical necessity
undergoing any specified Day Care Procedure (as mentioned in the Day Care
Procedure Benefit Annexure) within the Covered Period in a Hospital or Day Care
Centre due to Accidental Bodily Injury or Sickness first occurring or manifesting
itself on or after the Effective Date of Cover and during the Cover Period then, subject
to Benefit Limits and Conditions, Waiting Period and Exclusions of this Policy, an
amount equal to five times the Applicable Daily Benefit, shall be payable by the
Corporation, regardless of the actual costs incurred.
 Other Surgical Benefit:
In the event of an Insured covered under this Policy due to medical necessity
undergoing within the Cover Period any Surgery not listed under Major Surgical
Benefit or Day Care Procedure Benefit, in a Hospital due to Accidental Bodily Injury
or Sickness first occurring or manifesting itself on or after the Effective Date of Cover
and during the Cover Period, then, subject to the Benefit Limits and Conditions,
Waiting Period Exclusion of this Policy, a Daily Benefit equal to 2.5 times the
Applicable Daily benefit, shall be payable by the Corporation, regardless of the actual
costs incurred for each continuous period of 24 hours or part thereof provided by any
such part stay exceeds a continuous period of 4 hours of Hospitalization.

 Medical Management Benefit:

In the event of an insured cover under this policy undergoing in patient hospitalization
within Cover Period due to the following major medical conditions first occurring or
manifesting itself on or after the Effective Date of Cover and during the Cover Period
then, subject to Benefit Limits and Conditions, Waiting Period & Exclusions of this
Policy, a lump-sum of 2.5 times of Applicable Daily Benefit shall be payable by the
Corporation regardless of the actual cost incurred.
a. Dengue
b. Malaria
c. Pneumonia
d. Pulmonary Tuberculosis
e. Viral Hepatitis A

32
 Premiums:
a. The installment premium, mode, due dates, and dates of last payment are specified
in the Scheduled of this policy document. Subject to the days of grace, the instalment
premiums must be received on or before their due dates. The premium payable in
respect of Principle Insured Spouse will be "Installment premium" which includes:
1. Installment premium for Base Policy.
2. Installment premium for LIC's Accident Benefit Rider
3. Installment premium for LIC's New Term Assurance Rider For other insured, the
Installment premium for the Base Policy. premium" shall be the instalment

Plan name Entry age Maturity age Premium

LIC’s Jeevan 18 years -50 60 years Varies based on sum insured

Arogya plan years no. of members covered age at
entry, medical history, etc.

 The Claim Process in LIC Jeevan Arogya:

Required claim forms:

In order to claim benefits under LIC Jeevan Arogya, the insured will be required to
submit the corresponding claim forms along with the documents of treatment and
discharge. Before the forms are submitted, the insured will also be required to attach
the photocopies of the documents.

→Following are the mandatory claim forms under LIC Jeevan Arogya:

 Claim intimation form: The fundamental form intimating the servicing LIC
branch, this form is the first document that needs to be submitted by the insured.
The claim intimation form necessitates the following information:
 Accurate policy number
 Third party administrator (TPA) details (in case it is required)
 Hospitalization details

33
  Full name, residential address, and contact number of the insured
 Other important details surrounding the principal insured

 Hospital treatment form: This form will be filled by the hospital officials with
details of the treatment that the claimant has underwent. Thereafter, this form will
be required to be submitted to LIC by the insured individual. The form essentially
provides a detailed summary of the treatment and stay of the insured in the
hospital including number of days, details of ICU, and so on. The health card
provided by LIC and attached by hospital officials must also be attached with this
form.

 Claim forms for HCB/MSB/OSB/day care benefits: The insured individual will
be required to fill the information in this form in order to claim benefits under LIC
Jeevan Arogya. The information needed in this form includes claimant details
(who went through the treatment), duration of the hospitalization, and claimant's
bank details. The claimant will also be required to sign in the required spaces in
the form.

Mandatory Documents Along with Claim Forms Along with the claim forms, the
claimant will also be required to submit certain documents for proof. They are:
 Invoices and receipts from the hospital
 Cash memos
 Medical test reports along with a prescription from the doctor
 Discharge card or certificate from the hospital
 A certificate from the surgeon mentioning the nature of the surgery performed
 Certificates from attending doctors, specialists or consultants
 If the claim is an accident benefit claim, then FIR and other supporting documents
will be required
 Proof of identification of the insured

 LIC Jeevan Arogya Claim Procedure

34
• The claim forms along with supporting documents are submitted by the insured to
the servicing branch first.
• The forms are thereafter sent to the Health Insurance department of LIC's
concerned divisional office.
• The Health Insurance department officials then verify the forms and documents
after which they are sent to the TPA to further process the claim.

• After careful scrutinization of the documents by the TPA, the claim is admitted
and processed further.
• The final decision about whether or not the claim will be accepted is made by
LIC.
• The final step towards processing claims is taken by LIC officials wherein they
intimate the partner bank and release the claim amount.

2.LIC's Cancer Cover:

The Cancer Cover from LIC is a non- participating linked, health insurance plan that
provides policyholders financial protection in case they happen to get diagnosed with
Early/Major Stage Cancer, anytime during the policy tenure. This particular plan can
be purchased through online and offline channels.

Features and Benefits of LIC's Cancer Cover

• Benefit Options: The policyholder has to choose one of the following two benefit
options at the time of taking the policy.
Option 1. Level Sum Insured: Under this option, the Basic Sum Insured shall remain
unchanged throughout the policy term.
Option 2. Increasing Sum Insured: Under this option, Sum Insured under the policy
shall increase by 10% of Basic Sum Insured each year for first five years starting from
the first policy anniversary or until the diagnosis of first event of any cancer,
whichever is earlier. On diagnosis of any specified Cancer as mentioned in Condition
8(a) of Part C, all the claims payable under the policy shall be based on the Increased

35
 Sum Insured at the policy anniversary prior to the diagnosis of the first claim and
further increase to this Sum Insured will not be applicable.

• Early-Stage Cancer Benefit: Provided the policy is on first diagnosis, before the
stipulated date of maturity, of any of the Major Stage Cancers as
mentioned in Condition 8 (a) 1 of Part C, and if the same is admissible then the
following benefits are payable subject to Conditions and Restrictions as
mentioned in this document:

a) Lump sum benefit: 25% of Applicable Sum Insured shall be payable.

b) Premium Waiver Benefit: Premiums for next 3 policy years or balance
policy term, whichever is lower, shall be waived from the policy
anniversary coinciding or following the date of diagnosis.

 Major Stage Cancer Benefit: Provided the policy is on first diagnosis, before the
stipulated date of maturity, of any of the Major Stage Cancers as mentioned in Condition
8 (b) 2 of Part C, and if the same is admissible then the following benefits are payable
subject to Conditions and Restrictions as mentioned in this document:

• Lump Sum: 100% of Applicable Sum Insured less any previously paid claims in
respect of Early-Stage Cancer shall be payable.
• Income Benefit: In addition to the above lump sum benefit, Income Benefit of 1%
of Applicable Sum Insured shall be payable on each policy month following the
payment of Lump Sum as mentioned in the above Condition 3(a) of Part C, for a
fixed period of next 10 years irrespective of the survival of the Life Insured and
even if this period of 10 years goes beyond the policy term. In case of death of the
Life Assured while receiving this Income Benefit, the remaining payouts, if any,
will be paid to his/her nominee.
• Premium Waiver Benefit: All the future premiums shall be waived from the next
policy anniversary and the policy shall be free from all liabilities except to the
extent of Income Benefit as specified above

 Maturity Benefit. No maturity benefit is payable under this plan.

 Death Benefit: No death benefit is payable under this plan.

36
 Payment of Premiums:
a. The policyholder has to pay the premium on the due dates as specified in the Scheduled
of this Policy Document along with taxes, if any, as applicable from time to time.

b. Grace period: A grace period of one month but not less than 30 days shall be
allowed for payment of yearly or half-yearly premiums from the date of First unpaid
premium. If the premium is not paid before the expiry of the days of grace,
the policy lapses.
If the diagnosis of any Early Stage or Major Stage Cancer occurs within the grace
period but before the payment of the premium then due, the policy will be valid and
the benefits shall be paid after deductions of the said unpaid premiums as also the
balance premium if any, falling due from the date of diagnosis and before the next
policy anniversary.

 Waiting Period: A waiting period of 180 days will apply from the date of issuance of
policy or date of revival of risk cover whichever is later, to the first diagnosis of "any
stage" cancer. "Any Stage" here means all stages of Cancer that occur during the waiting
period. This would mean that the benefit covered under this policy is not applicable and
the policy shall terminate if any stage of Cancer Cover.

1. At any time on after the date of issuance of the Policy but before the expiry of 180
days reckoned from that date
2. Before the expiry of 180 days from the Date of Revival.
 Survival Period: No benefit is payable under the policy if the Life Assured dies within a
period of 7 days from Date of Diagnosis of any of the specified Early-Stage Cancer or
Major Stage Cancer. The 7 days survival period includes the date of diagnosis.
Benefit under this plan shall be payable subject to fulfilling all of the below
criteria:

• 7 days survival period from the date of diagnosis.

• Signs and symptoms relevant to the cancer should have been present and
documented before death.

37
 • All investigators to confirm the diagnosis of cancer should have been done
before the death of the insured.
• Satisfaction of the cancer definition as per the policy condition.

 Why should one opt for an LIC Health Insurance Plan?

Rising healthcare costs are a concern, for all, especially in the event of an emergency
hospitalization. One way to safeguard yourself from such unplanned expenses is to
purchase a comprehensive health insurance policy that will keep your out-of-pocket
expenses to a minimum. In health insurance plans also help you save on tax
deductions, as the premiums you pay towards your policy are eligible for tax benefits
under Section 80D of the Income Tax Act, 1961.
LIC is one of the most preferred insurance firms in the country. The company, which
was nationalized in the year 1956, has branches across the country. In order to cater to
the demands of their ever-growing consumer base, the insurer also has a plethora of
customer care channels, making it easy for customers to reach them.

Need Health Insurance

• Insuring yourself and your family will not only help you financially against an
unforeseen event such as accidents and illnesses, but it will also take care of your
day-to-day medical expenses. People also think that they if they are insured under
a group health insurance plan from their employer, they don't need a separate
health insurance plan. These people are wrong, as the health insurance offered by
their employer will only cover them until they are working in the organization. So,
you should understand that once you are retired or you have to change your job,
you won't be covered.
• Also, it is advisable to buy health insurance form as early as possible. You should
know that with age, the risk of getting a disease increase, hence it increases the
premium rates. To avoid this, you should opt for health plan when you are healthy
and young.

Buy LIC Health Insurance:

38
• In the present time, medical insurance is something which is the basic need for
everyone, as the medical expenses are very high and it is almost impossible for a
middle-class person to afford treatment. The advancement in medical science and
technology is the reason behind this increase. But this advancement has made it
possible to cure incurable diseases as well.

• As per your requirement, you can purchase a comprehensive health insurance

plan. LIC health insurance is one of the trusted brands, as it has better claim
settlement ratio and lower premium amount.

39
 CHAPTER: 4
LITERATURE REVIEW

 LITERATURE REVIEW: 1

DR. Chaudhary, (2019) conducted research on "A study on Customer Satisfaction

& Awareness of Health Insurance," the objective of this to examine the awareness

40
 of level of Consumers towards Health Insurance. In this study the researcher used
convenience sampling. The sample was selected according to convenience of
researcher. This is an empirical study based on survey method. TONK District has
been purposely selected for study the sample size was 124 respondents. From the
study it was concluded that health insurance is a medical insurance given by an
insurance company, wherein it reimburses the medical expenses incurred for a valid
hospitalization.

 LITERATURE REVIEW: 2

V. KRISHNAVENI, (2018) Conducted research on "A study on policy holders

Satisfaction of Health Insurance." The objective study Krishnan aims to find out
the policyholders' satisfaction with regards to private & public health insurers. The
study examines the impact of different policies in achieving customer satisfaction.
The study is based on descriptive research which involves primary as well as
secondary data. The sample size was collected from 150 health insurance
policyholders who belong to various demographic profiles. From the finding we study
that among private sector policyholders and low among public sector policyholders.
From the study we concluded that the satisfaction of policyholder is a major factor in
renewing. The policies & selection of companies, insurance company will have to lay
more emphasis on satisfaction of policyholders.

 LITERATURE REVIEW: 3

Anjali Jacob, (2018) conducted research on "A study on customers perception

towards health insurance." The objective of this study is customers asses the
awareness level and source of awareness about health insurance. In this study, the
researcher used descriptive and analytical in nature which involves primary as well as
secondary data. Primary data have been collected by an interview and secondary data
have been collected from books, websites etc. The 50 customers have been selected
for sample size.

 LITERATURE REVIEW: 4

41
 Chitra.V. Etal, (2021) conducted research on "A study on Customer Awareness
Level & Satisfaction of Health Insurance Policies". The objective study the level of
awareness of health insurance products among customers' & and the assess the
relationship between awareness of health insurances of health insurance policies &
health insurance customer satisfaction. The responses are gathered from the
policyholder through the well - designed questionnaire copy. The purpose of the
secondary is to familiarized the research area. The study used a convenience sampling
method. Overall, 300 questionaries were distributed, out of which the customers'
return 283 filled responses. The filled answers are checked and finalized the entire
283 sample usable for the finance study. From the study it was concluded that the
focus on assembling the customer awareness level & satisfaction of health insurance
policies in Chennai city. It is observed from the study, the customers' felt that the
health insurance policies are essential.

 LITERATURE REVIEW: 5

Garg. A, (2015) conducted research on "A study on Satisfaction & Problems of

Health Insurance Policyholders in India". The objective study the examine the
satisfaction of health insurance policyholders in case of public & private sector
general insurance companies the problems faced by health insurance policyholders
from general insurance companies. The scope of the study is restricted to individual
health insurance covering sickness and accident in the case of individuals and their
family members. The sample size is 321 health insurance policyholders' respondents.
The study has come out with some important implications for the health insurance
companies. Pre-existing diseases in case of minor aliments should be covered from
the first year itself under health insurance. Further, there should be facility for free
health check-ups at fixed intervals.

 LITERATURE REVIEW: 6

Syed Zafar Abbas, (2014) conducted research on "A study of Customer

Satisfaction in Health Insurance in India." The objective study of customer
satisfaction towards health insurance services provided by the sample companies. And
the surest measure by which satisfaction level could be enhanced by the sample

42
 companies. The primary information is based on well design questionnaire duly tested
order to test the customer satisfaction. The finding we study the analysis of the above
it reveals that the private health insurance companies should ley emphasis on the
better disclosure of information in the policy documentation. From the study we
concluded that the basic function of health insurance is to provide access to health
care with the financial risk protection. The present paper makes an attempt to study
the customer satisfaction public private health insurance companies.

 LITERATURE REVIEW: 7

Young law, (2016) conducted research on “Young Adults’ Attitudes and

Perception on Health Insurance Literacy Levels”. The purpose of this study was to
determine health insurance literacy levels and assess attitudes and perception about
health insurance among young adults aged 18-24 years. In this study, the researchers
used utilized quantitative non-experimental research methods, specifically survey
instrumentation to collect data. This study also found that young adults are a cost
sensitive population.

 LITERATURE REVIEW: 8

Abdulrahman Senjab, (2020) conducted research on, "Knowledge, Perception,

and Attitudes of universal health coverage policies". The aim of this study is to
measure the knowledge of Alfaisal students and record their perceptions about Saudi
Arabia's basic health-care coverage structure and UHC policies. In this study, the
researcher used Consecutive Sampling method to achieve the required calculated
sample size for March- April of 2020. The accumulated data were organized,
tabulated, and statistically analyzed using SPSS software. Comparison between
groups and more was made using the chi-square test.

 LITERATURE REVIEW: 9

K.V.Sujithra, (2019) conducted a study on "A Study on Perception and

Satisfaction of LIC Policyholders with Special Reference to Ernakulam District",
aim is to study whether there is any significant association between the demographic

43
 variable gender and level of awareness and also to examine the level of satisfaction on
LIC policy holders with regards to different factors In this study sample of 50
respondents has been taken by stratified sampling method also secondary data were
used for the same. Chi-square test and Likert scale are used for this study to analyze
the data. The study reveals that there is significant association between gender and
level of awareness. It can be concluded that most of LIC policy holders are satisfied
with the general services provided by LIC.

 LITERATURE REVIEW: 10

S. Nithya and Dr. G. Vinayagamoorthy, (2019) conducted a study entitled

"Customer Awareness and Satisfaction towards Services of Life Insurance
Corporation of India in Madurai District", aim is to discover out the main criteria
that people think about before investing in a life insurance policy and to study the
awareness and satisfaction of customer towards products offered by LIC of India in
Madurai district. The required primary data is collected from 75 customers by using
convenience sampling method. The statistical tools used are mean percentage,
weighted average method. The study concludes that reference by friends and family is
major criteria and main satisfaction of customer lies in company’s reputation.

CHAPTER: 5
RESEARCH METHODOLOGY
44
 RESEARCH METHODOLOGY:

 PROBLEM STATEMENT:

“A Study on Customers Satisfaction on Health Insurance at LIC of India”

 RESEARCH OBJECTIVES:

 To study customers satisfaction towards in health insurance company at LIC.

45
  To study customers attitude towards in health insurance company at LIC.

 RESEARCH DESIGN:

 Descriptive: Descriptive research is a type of research that describes a population,

situation or phenomenon that is being studied. It focuses on answering the how,
what, when, and where question in a research problem rather than why. The
research is conducted as per in a descriptive way.

 DATA COLLECTION SOURCES:

 Primary data: Primary data is a type of data that is collected by researcher

directly from main sources through interviews, surveys, and experiments, etc.
Primary Data is collected directly from the owners and administration staff of the
branch.

 Secondary data: Secondary Data is the data that has already been collected
through primary sources and made readily available for researchers to use for
their own research.

 DATA COLLECTION TOOLS:

 Questionnaire: A questionnaire is a research instrument that consists of a set of

questions or other types of prompts that aims to collect information from a
respondent. A structured questionnaire is made to collect the different types of
answers to questions and are collected and recorded for analysis.

 SAMPLING DESIGN:

 Population – LIC Policy holders in Vapi city

 Sample size – 100
 Sampling method – Convenience Sampling Method is useful for the
research. It is also known as availability sampling; it is a specific type of non-
probability sampling method that relies on data collection from population
members who are conveniently available to particular in a study.

46
CHAPTER: 6
47
 DATA ANALYSIS

 IDENTIFICATION INFORMATION:
A. GENDER:

GENDER FREQUENCY

MALE 38

FEMALE 62

TOTAL 100

48
 GENDER

62%

38%

MALE FEMALE

INTERPRETATION:

 Out of 100 respondents, only 38 were male and 62 were female. this turns out to be a
great sign for the women empowerment in the society as vast proportion of the female
have actively taken part in the research of customer satisfaction in the health
insurance of LIC.

B. AGE:
AGE FREQUENCY

BELOW 20 YEARS 19

21 YEARS – 30 YEARS 61

49
 31 YEARS – 40 YEARS 10

41 YEARS – 50 YEARS 5

ABOVE 50 YEARS 5

TOTAL 100

AGE
FREQUENCY

61

19

10
5 5

BELOW 20 YEARS 21 YEARS-30 YEARS 31 YEARS- 40 41 YEARS- 50 ABOVE 50 YEARS

YEARS YEARS

INTERPRETATION:

 Out of 100 respondents, majority of them were having the age between 21-30 years,
that is about 61 respondents of the total answers for the survey. Many teenagers below
20 years of the age have also participated for the same with a proportion of 19
respondents. Rest of them are more than 31 years. This shows the strength of today’s
youth in the society.

C.EDUCATION QUALIFICATION:
EDUCATION QUALIFICATION FREQUENCY

SSC 14

HSC 18

50
 DIPLOMA 16

GRADUATE 32

POST GRADUATE 20

TOTAL 100

EDUCATION QUALIFICATION
FREQUENY

32

20
18
16
14

SSC HSC DIPLOMA GRADUTE POST GRADUATE

INTERPRETATION:

 From this survey it can be analyzed that out of 100 respondents 14 are SSC ,18 are
HSC qualified, 16 had diploma, 32 are graduates and 20 are post graduates.

 This shows maximum number of respondents are graduates and minimum are SSC
qualified.

D. OCCUPATION:
OCCUPATION FREQUENCY

BUSINESS MAN 22

51
 SALARIED PERSON 46

PROFESSIONALS 20

HOUSE WIFE 6

RETIRED 2

OTHERS 4

TOTAL 100

OCCUPATION
FREQUENCY
46

22 20

6 4
2
S
AN

D
N

S
E
AL

R
RE
IF
SO

HE
N

TI
R

IO

OT
SS

RE
PE

SE
SS
NE

U
D

FE

HO
IE

SI

O
R

BU
LA

PR
SA

INTERPRETATION:

 From the survey it can be analyzed that out of total number of respondents, 46 are
salaried person, 22 are business man, 20 are professional’s, 6 are house wife, 2 are
retired and 4 are others. It can easily interpreted that majority of the respondent’s
includes the salaried person.

E. MONTHLY INCOME:
MONTHLY INCOME FREQUENCY

BELOW 25000 63

52
 25000-40000 21

40000-60000 7

ABOVE 60000 9

TOTAL 100

MONTHLY INCOME
FREQUENCY

63

21

7 9

Below 25000 25000 to 40000 40000 to 60000 Above 60000

Interpretation:

 Out of 100 respondents’, surprisingly the monthly income of the answers includes
below 25000 with a proportion of 63 respondents, 25 thousand to 40 thousand with a
proportion of 21 respondents, 40 thousand to 60 thousand with a proportion of 7
respondents and above 60 thousand with a proportion of 9 respondents. Hence, it can
be observed that majority of the total respondents are from middle class only.

 SURVEY INFORMATION:
1.Which health policy you have of LIC?

HEALTH INSURANCE NO. OF RESPONDENT

53
 LIC’s Jeevan Arogya 97

LIC’s Cancer Cover 3

Total 100

Health policy

3%

97%

LIC's Jeevan Arogya LIC's Cancer Cover

Interpretation:

 From the above chart it can be interpreted that 97 respondents’ have LIC’s Jeevan
Arogya and only respondents have LIC’s Cancer Cover.
 Hence, we can say that majority of the respondents are using LIC’s Jeevan Arogya
and I was completely satisfied with that.

2. Who pays for your health insurance?

PAY FOR INSURANCE NO. OF RESPONDENT

54
 Yourself 45

Parents 36

Government 4

Company 4

Agent 7

Others 4

Total 100

PAY FOR INSURANCE

frequency
45

36

7
4 4 4

yourself parents government company agent others

Interpretation:

 From the above chart it can be interpreted that 45 respondents pay their health
insurance by themselves, 36 respondents pay their health insurance by parents, 4
respondents pay their health insurance by their parents, 4 respondents pay their health
insurance by their company ,7 respondents pay their health insurance by agent and 4
respondents pay their by others sources. This shows that most of the respondent do
not depend upon others and paid their insurance themselves.

3. How many people are covered in your health policy?

PEOPLE COVERED NO. OF RESPONDENTS

55
 1 23

2 31

3 24

4 15

5 7

Total 100

PEOPLE COVERED
FREQUENCY

31

23 24

15

1 2 3 4 5

Interpretation:

 From the above chart it can be interpret that 23 respondents have 1 member covered
in their health policy. 31 respondents have 2 members covered in their health policy,
24 respondents have 3 members covered in their health policy, 15 respondents have 4
members covered in their health policy and & 7 members have more than 5 members
in their health policy.

4. How important do you consider health insurance of LIC?

56
 IMPORTANCE OF HEALTH NO. OF RESPONDENTS
INSURANCE

Extremely important 67

Somewhat important 11

Neutral 12

Unimportant 8

Least important 2

Total 100

IMPORTANCE OF HEALTH INSURANCE

FREQUENCY

67

11 12
8
2

EXTREMELY SOMEWHAT NEUTRAL UNIMPORTANT LEAST IMPORTANT

IMPORTANT IMPORTANT

Interpretation:

 With the help of bar graph, it can easily be interpreted that among the 67 respondents
are considered extremely important of health insurance. There are 11 respondent who
are somewhat important of health insurance. There are 12 respondent who are neutral
in health insurance and 8 and 2 respondent who are unimportant and least important
of health insurance.

57
5. Why do you think you should take health insurance policy of LIC? (multiple choice
question)

REASON FOR TAKING HEALTH NO. OF RESPONDENTS

INSURANCE

Protection 59

To meet out medical expenses 10

Tax benefit 25

Attractive schemes 24

To avoid risk 12

Cover big expenses 16

Due to age(old) 5

Fear due to past experience 7

Others(specify) 1

Total -

REASON TO TAKE HEALTH INSURANCE

FREQUENCY
59

25 24
16
10 12
5 7
1
N

ES

S
T

E
SK

CE
S
IO

ER
FI

AG
SE
SE

RI

N
NE
CT

H
N
HE
EN

IE
TO

OT
D

PE
E

BE

R
SC
OT

OI
XP

PE
EX

E
AV
X

DU
E
PR

EX
TA

IV

G
AL

TO

BI
CT

ST
IC

R
RA
ED

PA
VE
T
M

TO
CO
AT
T
OU

E
DU
T
EE

AR
M

FE
TO

Interpretation:

 From the above chart it can be interpret that 59 respondent buy health insurance to
protect from rising cost of healthcare, 10 respondents are buying to meet out medical

58
 expenses, 25 respondents buy health insurance policy for tax benefits, 24 respondents
buy health insurance policy to avail attractive schemes, 12 respondents buy health
insurance to avoid risk, 5 respondents buy health policy due to getting older by age,
16 respondents buy health insurance policy to cover big expenses, 7 respondents buy
from fear due to past experience and 1 respondent buy due to any other reason than
the given options. This shows that maximum respondents are satisfied from protection
from health insurance.

6.What are the sources of health insurance policy?

SOURCES OF HEALTH NO. OF RESPONDENTS

INSURANCE

Friends 29

Family 40

Agent 10

Online 18

Others 3

Total 100

SOURCES OF HEALTH INSURANCE

NO OF RESPONDENTS
40

29

18

10

FRIENDS FAMILY AGENT ONLINE OTHERS

Interpretation:

 From the above graph it can be interpreted that 29 respondents have the sources of
information with the help of friends, 40 respondents with the help of family, 10
respondents with the help of agent ,18 respondent with the help of online mode and 3
respondents with the help of others sources. This shows that the family members play
an important role for influencing the respondents aware about LIC.

59
7. How long you associated with LIC of India?

HEALTH INSURANCE NO. OF RESPONDENTS

Less than year 18

1 to 2 years 31

2 to 3 years 17

3 to 4 years 5

4 to 5 years 8

More than 5 years 18

Total 100

NO OF RESPONDENTS

31

18 18
17

8
5

LESS THAN YEAR 1 TO 2 YEAR 2 TO 3 YEAR 3 TO 4 YEAR 4 TO 5 YEAR MORE THAN 5

YEAR

Interpretation:

 From the survey it can be analyzed that out of 100 respondents 18 respondents have
been associated with the LIC of India for less than a year, 31 respondents for 1 to 2
years, 17 respondents for 2 to 3 years, 5 respondents for 3 to 4 years 8 respondents for
4 to 5 years and 18 respondents for more than 5 years.

60
8. Have you filed a claim?

FILED A CLAIM NO. OF RESPONDENTS

Yes 59

No 41

Total 100

NO OF RESPONDENTS

NO
41%
YES
59%

YES NO

Interpretation:

 From the survey it can be interpreted that out of 100 total respondents, 59 respondents
have filed their claim and 41 respondents haven’t filed a claim.
 This shows that there are more yes respondents in the survey as compare
to no respondents.

61
9. How satisfied are you with current insurance provider?

A. Risk coverage capacity

RISK COVERAGE CAPACITY NO. OF RESPONDENTS

Highly Satisfied 20

Satisfied 51

Neutral 26

Dissatisfied 1

Highly Dissatisfied 2

Total 100

RISK COVERAGE CAPACITY

NO OF RESPONDENTS

51

26
20

1 2

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 20 are highly satisfied, 51 are satisfied, 26
are neutral, 1 are dissatisfied, and 2 are highly dissatisfied about risk coverage
capacity.
 This shows that maximum number of respondents are satisfied and minimum are
dissatisfied about risk coverage capacity.

62
 B. Claim processing
CLAIM PROCESSING NO. OF RESPONDENTS

Highly Satisfied 27

Satisfied 34

Neutral 32

Dissatisfied 5

Highly Dissatisfied 2

Total 100

CLAIM PROCESSING
NO OF RESPONDENT

34
32

27

5
2

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 27 are highly satisfied, 34 are satisfied, 32
are neutral, 5 are dissatisfied, and 2 are highly dissatisfied about claim processing.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about claim processing.

63
 C. Enrolment process
ENROLMENT PROCESS NO. OF RESPONDENTS

Highly Satisfied 29

Satisfied 48

Neutral 16

Dissatisfied 5

Highly Dissatisfied 2

Total 100

ENROLMENT PROCESS
NO OF RESPONDENT

48

29

16

5
2

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 29 are highly satisfied, 48 are satisfied, 16
are neutral, 5 are dissatisfied, and 2 are highly dissatisfied about enrolment process.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about enrolment process.

64
D. Customer service

CUSTOMER SERVICE NO. OF RESPONDENTS

Highly Satisfied 21

Satisfied 54

Neutral 16

Dissatisfied 6

Highly Dissatisfied 3

Total 100

CUSTOMER SERVICE
NO OF RESPONDENT

54

21
16

6
2

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 21 are highly satisfied, 54 are satisfied, 16
are neutral, 6 are dissatisfied, and 2 are highly dissatisfied about customer service.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about customer service.

65
 E. Easy accessibility of linked hospitals
EASY ACCESSIBILITY OF NO. OF RESPONDENTS
LINKED HOSPITALS

Highly Satisfied 32

Satisfied 36

Neutral 25

Dissatisfied 5

Highly Dissatisfied 1

Total 100

EASY ACCESSIBILITY OF LINKED HOSPITALS

NO OF RESPONDENT

36
32

25

5
1

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 32 are highly satisfied, 36 are satisfied, 25
are neutral, 5 are dissatisfied, and 1 are highly dissatisfied about easy accessibility of
linked hospitals.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about easy accessibility of linked hospitals.

66
 F. Easy accessibility of service in hospital’s

EASY ACCESSIBILITY OF NO. OF RESPONDENTS

SERVICES IN HOSPITALS

Highly Satisfied 23

Satisfied 40

Neutral 25

Dissatisfied 8

Highly Dissatisfied 4

Total 100

EASY ACCESSIBILITY OF SERVICE IN HOPITALS

NO OF RESPONDENT
40

25
23

8
4

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 23 are highly satisfied, 40 are satisfied, 25
are neutral, 8 are dissatisfied, and 4 are highly dissatisfied about easy accessibility of
service in hospitals.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about easy accessibility of service in hospitals.
G. Accessible branch offices
67
 ACCESSIBLE BRANCH OFFICES NO. OF RESPONDENTS

Highly Satisfied 28

Satisfied 35

Neutral 29

Dissatisfied 6

Highly Dissatisfied 1

Total 100

ACCESSIBLE BRANCH OFFICES

NO OF RESPONDENT
35

28 29

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 28 are highly satisfied, 35 are satisfied, 29
are neutral, 6 are dissatisfied, and 1 is highly dissatisfied about accessible branch
offices.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about accessible branch offices.

H. Grievance Handling

68
 GRIEVANCE HANDLING NO. OF RESPONDENTS

Highly Satisfied 18

Satisfied 45

Neutral 32

Dissatisfied 3

Highly Dissatisfied 2

Total 100

GRIEVANCE HANDLING
NO OF RESPONDENT
45

32

18

3 2

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 18 are highly satisfied, 45 are satisfied, 32
are neutral, 3 are dissatisfied, and 2 are highly dissatisfied about grievance handling
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about grievance handling.

I. Image Of the Company

69
 IMAGE OF THE COMPANY NO. OF RESPONDENTS

Highly Satisfied 21

Satisfied 40

Neutral 36

Dissatisfied 2

Highly Dissatisfied 1

Total 100

IMAGE OF THE COMPANY

NO OF RESPONDENT
40
36

21

2 1

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 21 are highly satisfied, 40 are satisfied, 36
are neutral, 2 are dissatisfied, and 1 are highly dissatisfied about image of the
company.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about image of the company.

J. Proper Information Sharing by Insurance Agent’s

70
 ACCESSIBLE BRANCH OFFICES NO. OF RESPONDENTS

Highly Satisfied 17

Satisfied 38

Neutral 35

Dissatisfied 6

Highly Dissatisfied 4

Total 100

PROPER INFORMATION SHARING BY INSURANCE

AGENTS
NO OF RESPONDENT

38
35

17

6
4

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 17 are highly satisfied, 38 are satisfied, 35
are neutral, 6 are dissatisfied, and 4 are highly dissatisfied about proper information
sharing by insurance agents.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about proper information sharing by insurance agents.

K. Expertise Of Insurance Agents

71
 EXPERTISE OF INSURANCE NO. OF RESPONDENTS
AGENTS

Highly Satisfied 21

Satisfied 41

Neutral 25

Dissatisfied 7

Highly Dissatisfied 6

Total 100

EXPERTISE OF INSURANCE AGENTS

NO OF RESPONDENT

41

25
21

7
2

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 From the survey out of total respondents 21 are highly satisfied, 41 are satisfied, 25
are neutral, 7 are dissatisfied, and 2 are highly dissatisfied about expertise of
insurance agents.
 This shows that maximum number of respondents are satisfied and minimum are
highly dissatisfied about expertise of insurance agents.

72
10. Are you satisfied with your health insurance policy of LIC?

SATISFACTION OF HEALTH NO. OF RESPONDENTS

INSURANCE

Highly satisfied 23

Satisfied 53

Neutral 19

Dissatisfied 3

Highly dissatisfied 2

Total 100

SATISFACTION OF HEALTH INSURACE

NO OF RESPONDENTS

53

23
19

3 2

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

INTERPRETATION:

 Out of 100 respondents for the survey, the above table shows that 23 respondents are
highly satisfied with health insurance policy of LIC, 53 respondents are satisfied, 19
respondents are neutral, 3 respondents are dissatisfied and 2 respondents are highly
dissatisfied. This shows that the majority of the respondents are satisfied with health
insurance policy.

73
11. Would you recommend others to take health insurance at LIC of India?

RECOMMEND OTHERS TO TAKE NO. OF RESPONDENTS

HEALTH INSURANCE

Yes 91

No 9

Total 100

No of respondents

9%

91%

yes no

INTERPRETATION:

 Out of 100 respondents for the survey, the above table shows that 91 respondents will
recommend others to take health insurance at LIC of India and only 9 respondents
will not recommend others to take health insurance. This shows that most of them
recommended to take policy at LIC.

74
 CHAPTER: 7
FINDINGS & CONCLUSIONS

75
 FINDINGS:

o Out of the 100 respondents, 38 are male respondent and 62 are female respondent. By
this, we can conclude that females are more involved when it comes to take health
insurance.
o The majority of the respondents 46 are from the salaried person. This shows that a lot
of salaried persons are satisfied with the health insurance.
o Most of the respondents are (Male and Female) belong to the age group of 21-30 years
followed by below 20 years, this shows that a lot of young people are satisfied with
health insurance.
o The monthly income of the comprises of mostly either below 25000 thousand or
between 25000 to 40000 thousand. This shows that huge proportion of respondents are
from middle class only.
o Out of 100 respondents, 97 respondents have LIC's Jeevan Arogya and only 3% have
LIC's Cancer Cover. By this we can conclude that majority of the respondents are
satisfied with LIC's Jeevan Arogya.
o Many of the responses do not depend upon others and like to pay their insurance
themselves.
o Out of the 100 respondents 31 are covered with 2 policies. This shows that most of the
people covered in health policy.
o The majority of the respondents 67 are considered extremely important of health
insurance of LIC.
o Out of 100 respondents, 59 respondents are taking health insurance for to protect from
raising cost of health insurance others are taking for tax benefit, Attractive schemes, to
meet out medical expenses, fear due to past experience and cover big expenses.
o Out of 100 respondents, 40 respondents have the sources of information with the help
of families. It shows that the family members play an important role for satisfied about
LIC.
o From the study it has been observed that 31 respondents have been associated with the
LIC of India for 1 to 2 years.
o Out of 100 respondents, 59 respondents are having easy way to file a claim. This
shows that the it is easy to file a claim on insurance policies.

76
o Out of total maximum number of respondents are satisfied about risk coverage
capacity, claim processing, enrolment process, customer service, easy accessibility of
linked hospitals, accessible branch offices, grievances handling, image of the
company, proper information sharing by insurance agents and expertise of insurance
agents.
o Vast proportion of respondents recommend others to take health insurance at LIC of
India. 53 respondents are satisfied with health insurance policy of LIC, 23 are highly
satisfied, 19 are neutral, 2 respondents are highly dissatisfied and 2 respondents are
dissatisfied. It shows that majority of them are satisfied with health insurance policy of
LIC.
o Out of 100 respondents, 91 respondents would recommend others to take health
insurance at LIC of India.

77
 CONCLUSION

Accomplishing this project on customer satisfaction of health insurance of LIC,

overall, it was an excellent and knowledge gaining experience for me. Despite of
small sample size of 100 respondents for questionnaire's survey, this project has
helped to know the customers satisfaction level towards the satisfaction of health
insurance of LIC.

The primary objective of the study was to know the satisfaction level in the minds of
customers. i.e. risk coverage capacity, enrolment process, customer service, easy
accessibility of linked hospitals and services, accessible branch offices, grievance
handling, image of the company, proper information sharing and expertise of
insurance agents.

The secondary objective of the study customers attitude towards in health insurance
company. It was found that most of them are satisfied of health insurance of LIC and
they have taken health insurance to protect from raising cost of health insurance, tax
benefit, Protection, to meet out medical expense, Attractive schemes, to avoid risk,
cover big expense, due to age (old) and Fear due to past experience etc.

From the survey it can be interpreted that respondent are satisfied about pre and post
hospitalization expense, medical expense, periodic medical checkup and most of the
respondents recommend others to take health insurance at LIC of India.

Out of this project, it is concluded that most of the respondents are satisfied with
health insurance of LIC. The customers are satisfied with the health policy with the
help of not only online mode but also the local people which includes like family,
friends and relatives. So, the overall customers are highly satisfied with LIC health
policy as it is comfortable and safe.

78
 BIBLIOGRAPHY:

1.) Dr. Vijeta Chaudhary (2019)," A study on Customer Satisfaction and Awareness,
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2.) Scholar SHIATS (Deemad University) Allahabad, Vol Issue 8, 386-394 3. V.

Krishnaveni, (2018), "A study on Policy Holders Satisfaction of Health
Insurance", International Journal of Engineering & Technology, 7(3.6) (2018)
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9.) K.V. Sujithra (2019), "A Study on Perception and Satisfaction of LIC
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10.) S. Nithya and Dr. G. Vinayagamoorthy (2019), "Customer Awareness and

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79
 WEBSITE:
http://www.turtlemint.com
http://www.yourarticlelibrary.com
http://www.investindia.gov.in
http://www.licindia.in
http://www.researchgate.net.publication
http://www.marketing91.com/swot.analysis.lic/
http://www.policyx.com
http://www.indiafilings.com

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ANNEXURE:

QUESTIONNAIRE:

SURVEY ON CUSTOMER SATISFACTION OF HEALTH INSURANCE OF LIC

Dear Sir/Madam

A survey being conducted by Manisha Parihar, the student of ROFEL BBA & BCA College,
Vapi, pursing my semester 6th in BBA Programme, please co-ordinate by filling
questionnaire for a study on "Customer Satisfaction of Health Insurance at LIC". All the
Information provided by you will be kept as a confidential by me.

A. IDENTIFICATION INFORMATION

 NAME: ____________________________

B. CLASSIFICATION INFORMATION

 GENDER:
Male ( ) Female ( )

 AGE: (in years)

Below 20 years ( ) 21-30 years ( )

31-40 years ( ) 41-50 years ( )

Above 50 years ( )

 EDUCATIONAL QUALIFICATION:
SSC ( ) HSC ( ) Diploma ( )
Graduate ( ) Post Graduate ( )
 OCCUPATION:
Business Men ( ) Salaried person ( )

Professionals ( ) House wife ( )

Retired ( ) Others (specify)______________________

 MONTHLY INCOME: (in rupees)

Below 25000 ( ) 25001-40000 ( )

40001-60000 ( ) Above 60000 ( )

C. BASIC INFORMATION

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1. Which health policy you have of LIC?

LIC’s Jeevan Arogya ( ) LIC’s Cancer Cover ( )

2. Who pay for your health insurance?

Yourself ( ) Parents ( )

Government ( ) Company ( )

Agent ( ) Others ( )

3. How many people covered in your health policy?

1( ) 2( ) 3( )

4( ) 5( )

4. How important do you consider health insurance of LIC?

Extremely important ( ) Unimportant ( )

Somewhat important ( ) Least important ( )

Neutral ( )

5. Why do you think you should take health insurance policy of LIC? (Multiple choice
question)

Protection ( ) To meet out medical expenses ( )

Tax benefit ( ) Attractive schemes ( )
To avoid risk ( ) Cover big expense ( )
Due to age (old) ( ) Fear due to past experience ( )
Others (specify)_____________________________
6. What are sources of health insurance policy?

Friends ( ) Family ( )

Agent ( ) Online ( )

Others (specify)____________________________

7. How long you associated with LIC of India?

Less than year ( ) 1 to 2 year ( )

2 to 3 year ( ) 3 to 4 year ( )

4 to 5 year ( ) more than 5 year ( )

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8. Have you filed a claim?

Yes ( ) No ( )

9. How satisfied are you with current insurance provider?

(1= Highly Satisfied, 2= Satisfied, 3 =Neutral, 4 =Dissatisfied, 5= Highly Dissatisfied)

STATEMENTS 1 2 3 4 5

RISK COVERAGE
CAPACITY

CLAIM PROCESSING

ENROLLMENT PROCESS

CUSTOMER SERVICE

EASY ACCESSIBILITY OF
LINKED HOSPITALS

EASY ACCESSIBILITY OF
SERVICE IN HOSPITALS

ACCESSIBLE BRANCH
OFFICES

GRIEVANCE HANDLING

IMAGE OF THE COMPANY

PROPER INFORMATION
SHARING BY INSURANCE
AGENTS

EXERTISE OF INSURANCE
AGENTS

10. Are you satisfied with your health insurance policy of LIC?

Highly Satisfied ( ) Satisfied ( ) Neutral ( )

Dissatisfied ( ) Highly dissatisfied ( )

11. Would you recommend others to take health insurance at LIC of India?

Yes ( ) No ( )

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