Bancassurance

BANCASSURANCE - A CHALLENGING CONVERGENCE IN INDIAN

PROSPECTIVE.

ABSTRACT

Bancassurance is the channel for selling out the insurance products. It can be said as the medium of marketing the insurance products through entire bank network. The study describes the need of Bancassurance with the justification of networking of banks. This study is a sincere attempt to analyze the extent success or failure of bancassurance in India. The study analyzes the insurance sector from the traditional way of marketing till the modern one i.e. Bancassurance. Bancassurance has received much attention from both researchers and policymakers, as it is a major step towards the creation of universal financial markets in the 21st century which are no longer segregated based on industry operations.

INTRODUCTION

‘BANCASSURANCE’ as term itself clears the meaning. It’s a combination of the term ‘Bank’ and ‘Insurance’. It means that insurance companies have started selling there products through banks. It’s a new concept to Indian financial market but it is very widely used in western and developed countries. Bancassurance is the most popular in Europe as the simplest way of distribution of insurance products through the banks. It is basically selling insurance products and services by leveraging the vast customer base of a bank and fulfilling the banking and insurance needs of the customers at the same time. It takes the various forms depending upon the demography, economic and legislative climate of the country, while demographic climate will determine the kinds of insurance products, economic climate will determine the trends in terms of turnover, market shares etc. However Bancassurance is relatively a new term for Indian financial markets.

OBJECTIVES OF THE STUDY

Bancassurance is a channel having a great scope if it moves in the right direction. The study deals to factors that effect the purchasing of insurance products through Bancassurance. The objectives of the study...