IDBI Bank sold insurance policies worth Rs 160 crore in March 2019 after a partnership with Life Insurance Corporation of India (LIC). In a statement, the bank said LIC’s corporate agents will be able to sell the products across their 1,800 branches.
LIC is the majority shareholder in IDBI Bank holding a 51 percent stake in the banking entity. In January 2019, LIC completed the deal with IDBI Bank.
The bank sold 26,116 policies in the month of March 2019. IDBI Bank said that LIC’s diversified product base would enable targeting their high net-worth customers in metro and urban areas and other customers in semi-urban and rural areas.
Rakesh Sharma, MD & CEO of IDBI Bank said, “With all these initiatives and synergies in place, the bank will be able to add Rs 1,000 crore to its bottom-line.”
LIC in a statement said in FY20, the bank has sold 1.929 policies with a premium of Rs 30.2 crore.
“With an increased association with LIC of India in the opening of accounts and resultant balances, IDBI Bank shall move faster towards healthier balance sheet,” said LIC.
The bank has also rolled out retail loan products that will only be available to LIC employees. These products offer attractive discounts and concessions in the home loan, auto loan, personal loan and education loan segments among others.
IDBI Bank and LIC have also formed a task force and a bancassurance steering committee to ensure the accomplishment of synergy initiatives and achieve the policy sales targets.