Bankassurance is not at all a threat to Insurance Companies. Rather they are joining hands with them to tap their existing clientele base. Though direct contact by Agents is more , banks have of late showing inclination in selling insurance products for mutual benefits.
The distribution system consists by life insurers consists of agents force, corporate houses and now banks.
To make money of course. Taking out insurance is a sensible precaution. If you are going to do it then the banks would much prefer that they make money out of it than some other organisation.
Bankassurance works both way. It can be an additional service/product of the bank which can be offered to their clients. Through this, banks will have the opportunity to make an additional profit and at the same time it can help their client to manage their money in the right way, of course with the help of the insurance provider. On the otherhand, insurance company will also have the opportunity to increase their distribution channel to sell insurance product directly to their target market. Advantages: 1. Exposure for both insurance company and banks 2. Direct Selling for the insurance company through banks 3. Additional distribution channel for the insuraance company 4. additional income for the banks
Because they can make a profit by selling those insurance products to you. If they sell insurance products, the insurance company pays them a commission. Also, in most cases, the insurance company they are tied to is a subsidiary of the parent bank and hence it is easy advertisement and publicity for their own sister concern.
You can pay them back with out them have you pay a high price for it. Buying insurance from banks is easy and affordable as long as you go to the banks that are popular.
I don't know about every state but in Georgia auto dealers are no allowed to sell auto insurance. They used to be allowed to sell insurance but that was stopped back in the early 1990's. I'm not sure if this was a state regulation or a national law but I do know that banks and auto dealers were stopped. Banks have been allowed to start back selling insurance under certain circumstances and in larger cities but I'm not sure exactly the city size requirement.
Banks are really not equiped to give reliable home insurance quotes. You would have to contact an insurance agency such as Allstate, State Farm, and PC Financial.
1) Unlike insurance agents, banks may lack sales culture as selling a insurance product is different from insurance product. 2) It is difficult to forecast sales to be recieved from the bank employees. 3) High cost involved in giving an extensive training to bank employees. 4) Incentives need to be given to bank employees to promote insurance product.
The private placement of shares involves selling shares to a few specific investors to boost capital. Some of these investors are mutual funds, big banks, pension funds, and some insurance companies.
Depositers insurance.
yes?
Federal Insurance Corporation