Bancassurance in India

Background The opening up of the insurance industry to private sector participation in December 1999 has led to the entry of 20 new players, with 12 in the life insurance sector and eight in the non-life insurance sector. Almost without exception these companies are seeking to utilise multiple distribution channels such as traditional agency, bancassurance, brokers and direct marketing. Bancassurance is seen by many to be a significant or even the primary channel (the latter being the case …

…advisors. Also distribute products through a number of alternative channels such as bancassurance tie-ups and corporate agencies. There are over 250 Insurance Officers that sell the products through these channels. MetLife has 3 bancassurance partners who contribute to 50% business generated by non-individual agents. The 3 partners are Jammu & Kashmir Bank, Dhanalakshmi Bank & Karnataka Bank. MetLife is leveraging on its bancassurance partners and has customised literature and training for the designated rural branches in vernaculars.