Bancassurance – A Panacea for increased sales: Insurance companies perspective

Abstract

Banking industry has grown quickly all over the world, at the same time insurance industry has also grown rapidly in the same cut throat economic environment. With the entry into non core products or services like insurance and securities markets, these days banks have increased their businesses. The integration of financial markets, emergence of new technologies and expansion of non-banking activities has a great impact on baking operations. Thus it results in opening doors for the business of non core products like insurance and securities (bancassurance) by banks. The only intention behind this diversification of business by the banks is to provide ample investment alternatives to the common people who do not have access to various financial products and securities so that they can maximize the returns on their investment. The increasing popularity of bancassurance has widened the scope of research in this area. In this study an attempt is made to know the impact of bancassurance on customers while they made decisions to purchase the insurance policies.