Different Bancassurance Models

Integrated

Bank Insurer

Agents
•Agents to place at
bank branches •No agent at branches
Non -integrated
•Mine on bank’s •Bank’s RMs to sell
client base -
telemarketing

Bank Insurer Bank Insurer

Broker’s model
Partnership - Leads
referral from bank on
commercial business;
brokers to recommend
Bank business Broker
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 Products align with different market segments
The selling model(s) chosen impacts product, distribution channel, staff ADVISORY
selection and training, marketing, sales processes and support etc
5. Advisory

NEEDS BASED 4. Advanced

standalone

Sales complexity
3. Simple standalone / increases
packaged

TRANSACTIONA 2. Co-incidental
2. Co-incidental
• As per ‘Advanced
L • Whole life Stand-alone’ but
formal
1. Targeted outbound • Endowments recommendations
for simple products made
• Personal Accident • Complex riders

• Home Contents • Critical Illness

• Travel • Income Protection

• Mortgage Reducing Term
(cross sales for Fire • Basic Term • Unit Linked Life
buildings and contents) • Annuities
• Accidental Death
• Creditor on Credit Cards
• Personal Accident
• Motor (with car loans)
• Hospital Cash
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Align tasks performed with channel functionality
A bancassurance model leverages ALL distribution channels for different stages of the sales cycle

Diary
Lead Qualify Close Post sales Account
management
generation sale sale service management
booking

Branches
     

Internet      
Telephone
     

F2F (FPM’s)      

 Good  OK  Poor

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 Key is distribution…. Underwriting automatically follows
Distribution Manufacturing
Client/insured

1 2 3 4 5 6 7
Channel Brand Product U/W Claims Admin Invest-
ments

General Insurance 15% 65% 10% 10%

Life, Pensions 45% 15% 10% 30%

& Investments (LPI)

Return on Equity >20% ~10% >30%

(ROE)
Banks
• Develop expertise, understanding and models
• Beauty parades, developing JVs and exclusive relationships
• Seeking value creation rather than just fee income
• Starting to see the value in manufacturing – and building their
own
Insurers
• Support and relationship building with banks
• Understanding of banks and their needs
• More internal support, blueprints, regional or global
academies within companies
• Benchmarking against the competition
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