Federal Bank and Bajaj Allianz Life Insurance enter into bancassurance agreement

Private sector bank Federal Bank has entered into a bancassurance agreement with private life insurance company Bajaj Allianz Life Insurance.

This partnership will enable Federal Bank customers to seamlessly access Bajaj Allianz Life Insurance products across the Bank’s wide network in India.

This strategic partnership aims to leverage the combined strengths of Bajaj Allianz Life and Federal Bank. This is in line with the strategic goals and growth plans of both companies and will boost insurance penetration and market expansion.

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PV Joy, SVP and Country Head, Federal Bank, said, “We are pleased to announce a strategic corporate agency bancassurance partnership with Bajaj Allianz Life Insurance Company. This partnership aims to bring a diverse range of life insurance solutions to our touch points.

This collaboration will enable us to achieve our goal of making insurance easily accessible to all. We believe this will help our customers invest wisely and secure their financial future.”

Dheeraj Sehgal, Chief Delivery Officer – Institutional Business, Bajaj Allianz Life said, “We are delighted to enter into this strategic partnership with Federal Bank, as it is a testament to our shared vision of empowering customers with strong financial solutions. Represents an important step towards life goals with confidence.

By leveraging Federal Bank’s extensive network and our wide range of life insurance products, we aim to provide customers seamless access to insurance solutions across various touchpoints.

Bancassurance is an insurance distribution model where insurance companies partner with banks to sell policies. Both the bank and the insurance company benefit from this arrangement.

While the bank earns commission from the insurance company, the insurer benefits from the bank’s distribution network.

Insurance regulator IRDAI had widely opened the bancassurance channel for insurers in 2022 as part of its overall effort to increase insurance penetration in the country and achieve the long-term goal of ‘Insurance for All’ by 2047, when the country celebrates its golden age. Will celebrate. Independence anniversary.

The regulator had paved the way for corporate agents (banks) to enter into distribution agreements with a maximum of nine life insurers, nine general insurers and nine health insurers. Additionally, insurance marketing companies (IMFs) can now tie up with six life, general and health insurers.

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