...Bancassurance in Asia APRIA Annual Conference, Seoul 24 July 10:20 – 11:50 am Clarence Wong, Swiss ReinsuranceCompany, Hong Kong Summary Bancassurance has seen rapid development in Asia over the past decade, mainly driven by deregulation in many key markets. It was virtually non-existent in 2000, but has risen in importance since to account for a significant share of distribution. The main business model has also diversified from simple distribution agreement to joint ventures and integrated financial services provisions. There is no doubt that bancassurance has been a great success in Asia over the past decade. However, from the perspective of an industry practitioner, I would like to draw on three important yet inter-related issues regarding the future of bancassurance. First, the economics of bancassurance to insurance companies.Second, the prospects of non-life distribution through banks.Third, the role bancassurance in closing the region's protection gap. Let me cover the first issue. In many markets, particularly emerging Asian markets like China and India, insurers have successfully leveraged of bancassurance to maintain or expand their market share in the early phase of market liberalization and deregulation. It is, on the other hand, well-known that insurers complaint all the time about the high distribution commission associated with bank channels. There are other constraints like higher lapse ratio and difficulties in selling complicated (higher-margin) products...
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...and Shu Wen Cheng Graduate Institute of Finance and Insurance, Shih Chien University, Taipei, Taiwan, Republic of China Abstract Purpose – The purpose of this paper is to compare the efficiency of bancassurance, an indirect marketing channel formed through the creation of subsidiaries, with an insurer’s own team, a direct marketing channel, in the Taiwan insurance sector. Design/methodology/approach – This paper uses the Charnes, Cooper, and Rhodes (CCR) model to measure the decision-making units’ (DMU) operating efficiency. Findings – The three major findings are: the efficiency score of a direct marketing channel is significantly higher than that of a comparable indirect marketing channel. The efficiency relationship between the indirect marketing channel and the direct marketing channel is independent. A marketing efficiency evaluation, when divided into different marketing channels for evaluation, provides meaningful results for marketing decision-makers. Originality/value – By comparing the efficiency between two different insurance marketing channels, managers in life insurance companies can make a more informed choice. Keywords Direct marketing, Marketing, Insurance, Taiwan Paper type Research paper Comparison of direct and indirect channels 343 Introduction Bancassurance, a method of distributing insurance products, has become a global trend that is gradually breaking down traditional barriers in how businesses supply financial products and services (Benoist, 2002). The...
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...Past Investment fund performance is not an indicator for the future. * Policy Holder Investment Result is not guaranteed. All risks, lost, and benefit from the investment will fully become Policy Holder’s responsibility. Thus, buyer candidate has to read and understand provisions in the brochure and proposal before invest. * This information only describes general information and not a contract or guarantee of investment’s performance. The correct terms and condition regarding the product is explained more thoroughly in police contract. Two Power Synergy PT AXA Mandiri Financial Services (AXA Mandiri) is a new joint venture company between PT Bank Mandiri (Persero) Tbk (49% share) and AXA (51% share) which runs Bancassurance business. Bancassurance is a term which means insurance product marketing through a bank’s network. AXA Mandiri has started its operation since December 2003. Built from two powerful synergy, AXA Mandiri steadily runs its business in Indoensia. As the biggest bank in Indonesia,...
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...who may be referred to as insurance sales agents, help clients choose insurance policies that suit their needs. Clients include individuals and families as well as businesses. Captive agents work for an insurance company, and only sell that company's products. They are one ones who connect with the customers emotionally. They are a good mediator between the insurer and the insured. They tell about the latest taste of the consumer in the market to the company. They generally work under (DO) development officer, who works under sales manager. There are many agents under one DO. They also help the agents and give them tips about how to approach the potential customers. BANCAASSURANCE The bank insurance model (BIM), also sometimes known as bancassurance, is the partnership or relationship between a bank and an insurance company whereby the insurance company uses the bank sales channel in order to sell insurance products, an arrangement in which a bank and an insurance...
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...Lecture on material that interests you as well as material that may not interest you • Knowing that you're making a difference . Share your Passions Did you have a teacher that got you so excited about a subject you started putting in extra time and work? That's what happens when you share your excitement and enthusiasm. Sharing your love of the subject matter with students is one of the best benefits of being a teacher. Become an Expert There's an old adage that it takes three years of teaching to master a subject. The best way to learn a topic is to teach it—students' questions make you dig deeper and learn more until you know the subject inside and out. • Having been a Bancassurance Officer in the Marketing Department in Byblos Bank, I worked on increasing the Bancassurance production in 73 branches in different regions of Lebanon. My experience has boosted my know-how in terms of product management, planning and executing marketing campaigns. In fact, this job gave me a solid...
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...International Investment in Insurance Services in the US By Christopher Chan (z3329864), Chun Kin Kwok (z3308661), Jay Jung (z3331738) Abstract This paper proposes several determinants of FDI in insurances services in the US and then examines its relationship and significance to FDI inflows in insurance services by an Ordinary Least Squares (OLS) regression. The regression found that a higher US wage rate discourages FDI in insurance services. However, it also shows that FDI in manufacturing and insurance services complement each other. Thus, the foreign acquisition of US manufacturing assets may have contributed to the almost fourfold increase of FDI inflows in insurance services between 1987 and 1998. 1) Introduction Since the 1980s, many foreign firms have seen the US as a relatively attractive destination for direct investment. Foreign direct investment (FDI)1 allows investors to exert a significant influence on the host country. It creates a global marketplace in which firms from one country are operating another firm in a totally different environment. The US has undergone a major process of restructuring and deregulation that has encouraged this type of investment. In 1998, US FDI inflows accounted for 30% of worldwide FDI inflows (US $193 billion) with the second largest host country (the UK) a distant US$130 billion behind. The dot com bubble in the 90s spurred the nearly doubling of FDI levels in the US in 1998 as overseas firms were eager to tap into the expanding...
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...Marketing Definitions Dear readers, since Marketing is a major portion of SBI Exams, so here we are presenting you some quick notes on Marketing. Hope they prove to be useful in the upcoming exam. * Market: It is a physical place or an environment where sellers and buyers meet together to exchange goods and services. * Marketing: It is the sum total of all activities that are related to the free flow of goods from the producer to the customer. Getting the right goods & services, to the right people, at the right place, at the right time and at the right price. * Marketing Management: It is the art and science of choosing target markets and getting, keeping and growing customers through creating, delivering and communicating superior customer value. * Market Research: It is a process of collection and analyzing information regarding customer needs and buying habits, the nature of competition in the market, prevailing prices, distribution network, effectiveness of advertising media etc for arriving at a decision. * Relationship Marketing: It is basically building mutually satisfying long term relationships with key parties like customers, suppliers, distributors and other marketing partners in order to earn and retain their business. * Direct Marketing: It consists of a manufacturer selling directly to the final customer. It is also called zero level channel. The major examples are door-to-door sales, telemarketing, Internet selling etc. * Packaging: It...
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...мети у статті застосовувалися загальнонаукові і специфічні методи, зокрема, при обґрунтуванні категоріально-понятійного апарату та дослідженні специфічних ознак інтеграційних процесів у контексті взаємодії банківських установ і страховиків – методи наукової абстракції і узагальнення, аналізу і синтезу, індукції і дедукції, спостереження і порівняння. У ході дослідження сутності “інтеграції” наведено основні підходи підходи до її визначення: з виокремленням цього явища в економічній сфері, сфері фінансових відносин, в страхуванні та банківській діяльності. Встановлено, що для характеристики розвитку інтеграційних процесів у діяльності банків і страхових компаній в науковій літературі широко застосовують поняття “банкострахування” (bancassurance). Розмежовано сутність цього поняття з близькими йому за значеннями: “банківське страхування”, “консолідація”, “страхування банківських ризиків”. З’ясовано сутність та характерні ознаки “інтеграції” у сфері взаємодії банків і страхових компаній. У цьому контексті подано авторське...
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...INCREASING INSURANCE PENETRATION IN INDIA Insurance penetration is the ratio of the percentage of total insurance premiums to gross domestic product. It tells us the level to which a market is being tapped. Thus insurance penetration is a tool to understand and identify the reasons of the success or failure and the degree of presence of insurance in the economy of a country. Indian insurance is a flourishing industry, with several national and international players competing and growing at rapid rates. Thanks to reforms and the easing of policy regulations, the Indian insurance sector been allowed to flourish, with a period 2010-2015 projected to be the ‘Golden Age’ for the Indian insurance industry. With a huge population base and large untapped market, insurance industry is a big opportunity area in India for national as well as foreign investors. India is the fifth largest life insurance market in the emerging insurance economies globally and is growing at 32-34% annually. This impressive growth in the market has been driven by liberalization, with new players significantly enhancing product awareness and promoting consumer education and information. Indian Insurance Market – History Insurance has a long history in India. Life Insurance in its current form was introduced in 1818 when Oriental Life Insurance Company began its operations in India. General Insurance was however a comparatively late entrant in 1850 when Triton Insurance company set up its base in Kolkata...
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...Introduction to bank rules and policies and customer service department. 25-08-15 Dealt with customers, Learned About Bancassurance policy. 26-08-15 Moved to ATM, cheque books and lockers, Introduction about ATM, cheque books , lockers a 27-08-15 Application and issuance of ATM, cheque book ,and Record keeping 28-08-15 Maintained Record about the customers in the Record book, Lockers EXPLANATION: I spent my first week in two departments that are customer services department and ATM, cheque books and Lockers Department under the supervision of Miss. Hamna and Mr. Qadir Bhatti respectively. Customer Services department is related with providing customers with the best service and to listen to their demands and solving their problem in a well mannered way. On day 1, Miss Hamna introduced me about the bank rules and policies and briefed me about managing customer services department. She told me the way to welcome customers and to deal with them and fulfill their requirements and to give them their desired and relevant information. The next day I performed as a front desk person and was asked to deal with customers so I did that and welcomed the customer, communicated with them, listened to their needs and requirement. Filled deposit slips and Pay Order for the customers who were not able to do that themselves. On this day I also learned about Bancassurance policy. Mr. Rizwan briefed me about the Askari insurance policies and saving plans that are Education and marriage...
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...International Journal of Marketing, Financial Services & Management Research Vol.1 Issue 11, November 2012, ISSN 2277 3622 Online available at www.indianresearchjournals.com MARKETING STRATEGIES IN LIFE INSURANCE SERVICES BEENISH SHAMEEM *; DR SAMEER GUPTA ** * RESEARCH SCHOLAR, THE BUSINESS SCHOOL, UNIVERSITY OF JAMMU ** ASSOCIATE PROFESSOR, THE BUSINESS SCHOOL, UNIVERSITY OF JAMMU ABSTRACT The study is designed to evaluate the marketing strategies in life insurance service sector & how these strategies boost sales & marketability of a product which ultimately lead to customer satisfaction. The insurance scenario faces multiple challenges such as increased costs of operation, regulatory pressures, and inflexible technology infrastructure. These pressures are compounded by low to moderate premium growth & the increasing burdens of regulatory compliance. Keeping all the above problems around the study would attempt to study all the factors that contributed to the effective marketing strategies. This paper presents different marketing strategies that are taken up in life insurance services keeping in view external and internal environment of the firm. Marketing strategy is the basic approach that the business units will use to achieve its objectives, and it consists of broad decisions on target markets, market positioning and mix, and marketing expenditure levels. As the financial services sector has become more competitive, financial institutions need to...
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...www.gradestack.com/blogs www.gradestack.com/blogs Insurance Digest for LIC AAO 2016 Exam Dear readers, This Insurance Digest is complete Information of important terms and plan & Policies and history. The Insurance Digest is important and relevant for all Insurance exams like - LIC AAO 2016 Exam, NICL, NIACL, Insurance and other Insurance Exams. What is Insurance? - Insurance is defined as a contract between two parties whereby one party called insurer undertakes in exchange for a fixed sum called premium to pay the other party called insured a fixed amount of money after happening of a certain event. According to the Indian Contract Act 1872, “A Contract may be defined as an agreement between two or more parties to do or to abstain from doing an act, with an intention to create a legally binding relationship.” Benefits of Insurance – It safeguards your money. It ensures growth of money. Life insurance policies are broadly categorized into 2 types – Traditional Plans and Unit Linked Insurance Plans (ULIPs). History-of-Life-Insurance-Corporation (LIC) - Life Insurance Corporation (India) (LIC) is an Indian state-owned insurance group and investment company headquartered in Mumbai. The Life Insurance Corporation of India was founded in 1956 when the Parliament of India passed the Life Insurance of India Act that nationalized the private insurance industry in India. Over 245 insurance companies and provident societies were merged to create the state owned Life Insurance...
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...Allied Bank opened the Allied Capital Resources, Ltd. in Hong Kong. In 1979, it became the number one bank in terms of total resources among the 26 private banks in the Philippines. By 1982, the bank has been granted a universal banking license. In 1986, Allied Bank acquired a development bank and renamed it First Allied Savings Bank, which is now known as Allied Savings Bank. It was one of the nine founding members of BancNet in 1990. Allied Bank reached a milestone when it became the first commercial bank to open a branch in the People’s Republic of China—the Xiamen Commercial Bank (now Allied Commercial Bank). Since then, Allied Bank has put up representative offices in Tokyo, Sydney and Bangkok. In 2003, Allied Bank entered the bancassurance with a 25% stake in the New York Life Philippines, Inc. Four years later, it acquired an additional 50% of the life insurance company making New York Life a subsidiary of Allied Bank. Alliedbankers Insurance Corporation is formerly the Sincere Insurance Company, Inc. Which was incorporated in 1960. The Lucio Tan Group of Companies (LTGC) acquired 100 ownership of the company in 1980 and changed its name to Alliedbankers Insurance Corporation. Our Vision A Community of Committed Professionals Aware of Critical Education Issues and TakingVoluntary Action to Help attain Quality Education Our Mission 1. valuing integrity and quality education 2. sharing and integrating knowledge, expertise and best practices...
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...cohérence interne, entre variable de GRH, et externe, entre configuration organisationnelle et convention de GRH. Introduction Il est bon de rappeler que l’individu interviewer travaille en tant que « chargé de relations de placement » dans une organisation du secteur bancaire. Il reçoit quotidiennement des clients afin de les conseiller sur des placements dans le cadre de la gestion d’un portefeuille de titres. Avec le client, il décide s’il est préférable de vendre, acheter ou conserver des produits financiers. Il travaille dans une agence bancaire faisant partie d’un réseau de sept agences au sein d’une société coopérative à responsabilité limitée indépendante, avec une trentaine de collègues proposant ainsi divers produits de bancassurance. Analyse des variable de GRH La formation Nous avons réalisé une première approche de cette variable de GRH lors de notre premier travail. Cependant, nous allons de nouveau analyser et approfondir celle-ci grâce aux divers éléments vus au cours lors de ces dernières semaines. que l’opérateur est un...
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...Focus of the direct sector is largely domestic • Reinsurance sector (esp general) has strong international component • International and regional business is growing • Most general insurers are foreign-owned • Two of the largest life-insurers are local • One is an important regional insurer • Most of the other life insurers are foreign Overview of Singapore’s Insurance Sector (2) • • • • • • • • 165 Insurance Companies, including: 11 life insurers 55 general insurers 6 composite insurers 5 life reinsurers 18 general reinsurers 9 composite reinsurers 61 captive insurers Overview of Singapore’s Insurance Sector (3) Insurance industry is mature, well developed and traditional in structure: • Most products sold through agents • Bancassurance growing • Direct sales small • Major life products: protection; investmentlinked • Major general products: motor, fire, marine & aviation, workmen’s compensation Overview of Singapore’s Insurance Sector (4) Despite maturity, domestic market not fully exploited: • Assets managed represent about 50% of GDP • Life insurance penetration 66% of households • Life premium density 3.8% of GDP (vs 5.1% in industrial countries) • General premium density 1.5% of GDP (vs 3.8% in industrial countries) Overview of Singapore’s Insurance Sector (5) Recent Trends: • Investment-linked products growing (63% of premiums, but 18% of assets) • Growing emphasis on financial planning Regulatory Objectives Prudential: • Safety and soundness of...
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