Data and Skill Requirements of a Promoter

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The promoter plays a pivotal role in the development of a project. The project starts with the promoter.The promoter uses his business acumen and entrepreneurship after searching for potentially viable projects. Having arrive at a business idea, the promoter implements by using relevant information based on data and analysis for making a business plan, a marketing plan and a financial plan. The promoter has to assemble many types of resources like land, machinery, employees and so on.

Here are some issues handled by the promoter:

1. Pollution protective measures in compliance with the Government rules and regulations
2. Analyse and compare various investment opportunities available. Here the promoter chooses between equity and debt options.The investors need to be convinced that their money will be safe and earning the revenues expected by them.
3. Establishing milestones which serves to give a perspective on timelines. Milestones include details about the various plans, technological specification and formal resumes for important members of the management teams of promoters.
4. Presentation to lenders which include bankers and financial institutions. Projects may be presented in an audio - visual form to the top executives to develop their appreciation of the whole plan. Generally, the lenders expect a formal application for loan from the promoters. 

The application form includes the following queries:-

• Name of the Business Concern
• Location
• Constitution : Whether public or private
• Date of Incorporation/ Registration
• Sector: Public; Private; Joint or Co-operative Sector
• New, Expansion, Modernization or Diversification Project
• Name of the Industry
• Brief History
• Any court cases or litigation or other adverse feature
• Amount of Financial Assistance required with details
• Details about Capital Structure
• Details about Management 
• The Project : Particulars of the Project, Technical/Collaboration Services,manufacturing Processes,Location and particulars of Land , Building, Construction, Equipment, Capacity, Raw materials, Utilities like power water and transport requirement
• Cost of the project and means of financing
• Market trend, situation and potential, Competitors
• Production and Economic costs
• Government Consents whether obtained

The appraisal for financing the project and the appraisal of various components of the project like technology, commercial aspects and profitability are correlated. This correlation is made by the promoter. A project well planned by the promoter will enable the success of the project.

Design of an Insurance Product

An insurance product has to be simple to understand. The impetus for insurers to design a product is the expected profits. Profitability is directly related to the volume of sales.

The following guidelines can be noted while designing an insurance product:

• To whom the product is intended. The target population can be for the urban or the rural, for white collar or blue collar jobholders, for individuals of all ages and so on. 
• Who can buy the product depends on the limitations provided in the policy about a minimum and maximum age, Gender, Income and Insurable Interest, preexisting health conditions and also citizenship of a country and so on.
• How comprehensive are the features contained in the insurance policy
• The benefit structure or the indemnity provided by the policy should be easily identifiable. This will make it easier for consumers to purchase the product. 
• The commission structure also should be simple. This is necessary in order to get forth more sales.
•  Whether the distributors need special training to sell the insurance to clients.
• Whether distributors can explain the relative advantage of the insurance product as compared to other products in the market.
• The definitions provided in an insurance product should be unambiguous and easy to understand.
• The number of riders, endorsements and bonus payments should be restricted to a few as too many of these features can cause more confusion. 
• Who are entitled to receive benefits and indemnity.
• What are the remedies in case there is a problem of litigation.
• Due regard and attention is given to the concerns of stakeholders. The policyholders expect sufficient protection for themselves and their dependents, Distributors expect timely receipt of commissions,the Insurers Association would be interested to control 'sales illustrations', 'poaching' and other bad practices.The consumer forum  protects the beneficiaries and towards this end, product design should be framed in order to avoid and minimize litigation.
• Filing requirements and the solvency requirements of the insurance regulators should be adhered to.

Generally speaking, the product design should be made so that the language used in description of terms should be simple to understand , fine print is avoided so that the insurance contract and sales literature can be easily read and understood by consumers. Moreover, restrictive clauses and conditions should be avoided. Complex design also should be avoided. This is because too many endorsements, riders and too many conditions in granting a benefit will be confusing for the clients. Clauses and endorsements should be numbered. The possibility of providing liquidity of the contract through the secondary insurance market can be considered. These are the various aspects to be considered while designing an insurance product.

Project Planning

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For those interested to start or join a project, this post can help you to get a head start.
A project necessarily:

• Has a specific objective to be completed with some specifications
• Has a defined start date and end date
• Has a certain amount of funds allocated
• Requires resources like money, time and equipment 

After identifying the project that you would to like to implement successfully, here's a check list to establish the feasibility:

Technical Feasibility: 

• Location and layout of the project
• Size of the project
• Construction requirements if any
• Manufacturing process and technology
• Process and Product design
• Scale of operation
• Infrastructure facilities and Economic Situation

Economic Feasibility

• Matching economic resources with the actual requirements for the project
• Establishing the profitability of the investment
• Examining the cost estimate without compromising on quality and suitability:
• Land
• Power, water, fuel and transportation
• Raw material
• Labor
• Establishing technical and administrative personnel requirements

After the feasibility study is made the design and process of the project is then implemented. Thereafter the process of appraisal and control of the operations is required for the successful implementation and completion of the project.
All the best in your endeavor!!

Types of Insurance Products

Products that are offered for sale by General Insurers include various types of

1)Property Insurance

• Fire Insurance
• Marine Insurance - Ocean marine and Inland water Insurance
• Motor Insurance
• Other Miscellaneous Insurances

The coverage offered by Property Insurance include risks of
Fire,Windstorm, hail aircraft, vehicle damage, riot and civil commotion, explosion, smoke, vandalism, sprinkler leakage, water damage, sinkhole collapse,volcanic action earth movement and crime.

2) Casualty Insurances

• Auto liability
• General liability
• Workers Compensation
• Professional Liability
• Umbrella and Excess liability
• Package Policies
• Small accounts and Surety bonds

Coverage is offered for various types of liabilities to third parties of the Insured.
Legislation and court decisions require frequent changes to policy forms and underwriting guidelines.

Products offered by Life Insurers include:

1) Assurances: The coverage offered include benefit in the event of death besides other benefits It can be classified into two sub groups: Pure death benefit contracts also called Term Assurances and Endowment benefit contracts  which provide a death benefit if death takes place and a survival benefit during the period of contract which is also called Money Back Assurance.

2) Annuities: The product provides benefits on the event of survival at stipulated time intervals besides other benefits. It can be classified into two sub-groups: Deferred Annuity which provides an immediate annuity after a specified period called 'deferment period' and Immediate Annuity that provides a series of payments at a stipulated interval on survival.