Aviva Life Insurance has recahed a deal with Punjab and Sind Bank as its fifth bancassurance partner in India. Under the terms of the deal, Punjab & Sind Bank wiill distribute Aviva’s life assurance products.
Punjab and Sind Bank has a network of 759 branches and 132 extension counters all over India, with its main presence in the northern states of Punjab, Haryana, Himachal and Delhi. Initially, 40 of Punjab and Sind’s Bank officers will be trained to advise on Aviva’s products.
“In Punjab & Sind Bank, Aviva has found a partner with an extensive distribution reach and one that also shares the vision of providing leading financial solutions to its customers,” says Stuart Purdy, managing director, Aviva Life Insurance, India. “The tie-up will further strengthen Aviva’s position as the leading bancassurer in the country. With this new partnership we will be able to reach out to a vast customer base, predominantly in the north of India thus extending our service network across the country as well as offering the more modern unit-linked and unitised with-profit products to the customers, specially designed in a manner to provide flexibility, transparency and value for money.”
Aviva claims to have pioneered the concept of bancassurance in India. Currently, the UK insurance company has bancassurance tie-ups with ABN Amro Bank, American Express Bank, Canara Bank and The Lakshmi Vilas Bank Ltd. In the financial year 2003-2004, bancassurance contributed 70% towards the total sales of Aviva India.
“Now that we have gained experience through our non-life bancassurance partnership, our tie up with Aviva Life Insurance will focus on life insurance bancassurance,” says VK Chopra, chairman & managing director, Punjab & Sind Bank. “This is in line with our strategy to augment our non-fund based income. The tie-up will bring products to all our bank’s customers.”
Products such as EasyLife Plus, LifeBond 5 and PensionPlus will be available to the bank customers. EasyLife Plus is a savings and life assurance plan that does not require the customer to undergo any medical tests. LifeBond 5 is a five-year recurring premium investment cum protection plan that provides attractive investment returns with maximum tax benefits. PensionPlus is a tax efficient personal pension plan.