Ghaziabad, Jan.12 – ‘ Life insurance is an investment in relationship management. The sensex can go down, the value of property may fall and the earth can shake but investment in relationship with altruism is most promising. The rate of return ( both social and private) are more than any other investment which can be measured and determined on any life insurance policy,’ opined Dr. M.M. Goel, Professor of Economics & Dean, Faculty of Social Sciences, Kurukshetra University, Kurukshetra here today. He was addressing the participants of a national seminar on ‘Development of Life Insurance Sector in Globalised Era: Issues and Challenges’ organized by Reliable Institute of Management & Technology.
To meet the challenges of globalization of World Trade organization (WTO),there is as strong case for converting Life Insurance Corporation (LIC) of India in to a multinational corporation (MNC) with its logo ensuring ‘ Yogkesham Vahamayam’ of the world community who are interested in insurance for the sake of insurance, justified Professor Goel. To insure one and all in the society, we need to adopt spiritually guided materialism (SGM) strategy ‘ needonomics’ flowing from sloka number 22 of chapter 9 of Bhagvad Gita which is ism neutral religion free treatise on relationship management and welfare economics, told Professor Goel.
He emphasized that marketing of the insurance product is another important exercise to be undertaken professionally. A proper assessment of the market for the purpose of product positioning is a pre-requisite to chalk out a careful marketing strategy.
The new guidelines of Insurance Regulatory and Development Authority (IRDA) implemented since Jan.01,2014 including transparency of guaranteed and non-guaranteed benefits to the policy holder, minimum sum for all policies, better surrender value with customer centricity and long term focus on agents compensation are perfectly in tune to face the challenges of competition through FDI in insurance sector, believes Professor Goel.
To create a niche with minimum risk, we need a focused strategy and distinguished product features which are targetable for unmet demand, told Professor Goel.