Q.1 India has a large population of more than 100 crores. The untapped market potential of this population creates a very big opportunity for the life insurance industry. Currently insurance industry is growing at the rate of 15-20 percent annually. Together with banking services, it adds about 7 percent of the country's GDP. In spite of all the growth mentioned the penetration of the insurance in India is very low. Nearly 70% of Indian population is without any kind of insurance. Till privatization, Life Insurance Corporation of India (LIC) was the only company providing life insurance services in India. LIC sold its policies as tax instruments and not as products giving protection against risk. Most of the customers were under-insured with no flexibility or transparency in the services provided. Before the entry of private players insurance penetration and awareness was very low especially in rural India The insurance sector opened up for competition from private insurance companies with the enactment of the Insurance Regulatory and Development Authority (IRDA) Act, 1999. As per the provisions of the Act, the IRDA was established on April 19, 2000. This marked the beginning of liberalization of the Indian insurance sector. There are more than 20 private insurers in India whose market share was increasing every year. Innovative products, smart marketing and aggressive distribution helped the private sector grow within a very short period. Slowly but steadily, awareness about insurance was also increasing in India. The increase in penetration and awareness could be attributed to the stiff competition generated among public and private players. Based on above scenario, kindly select any one product of LIC and discuss the following: a) Bases for segmentation and segmentation strategy b) Targeting strategies c) Product - Positioning Mapping d) Product Life Cycle (PLC) stage 4 marks Q.1 India has a large population of more than 100 crores. The untapped market potential of this population creates a very big opportunity for the life insurance industry. Currently insurance industry is growing at the rate of 15-20 percent annually. Together with banking services, it adds about 7 percent of the country's GDP. In spite of all the growth mentioned the penetration of the insurance in India is very low. Nearly 70% of Indian population is without any kind of insurance. Till privatization, Life Insurance Corporation of India (LIC) was the only company providing life insurance services in India. LIC sold its policies as tax instruments and not as products giving protection against risk. Most of the customers were under-insured with no flexibility or transparency in the services provided. Before the entry of private players insurance penetration and awareness was very low especially in rural India The insurance sector opened up for competition from private insurance companies with the enactment of the Insurance Regulatory and Development Authority (IRDA) Act, 1999. As per the provisions of the Act, the IRDA was established on April 19, 2000. This marked the beginning of liberalization of the Indian insurance sector. There are more than 20 private insurers in India whose market share was increasing every year. Innovative products, smart marketing and aggressive distribution helped the private sector grow within a very short period. Slowly but steadily, awareness about insurance was also increasing in India. The increase in penetration and awareness could be attributed to the stiff competition generated among public and private players. Based on above scenario, kindly select any one product of LIC and discuss the following: a) Bases for segmentation and segmentation strategy b) Targeting strategies c) Product - Positioning Mapping d) Product Life Cycle (PLC) stage 4 marks