LIC and RBL Bank have a Bancassurance relationship

1. Basic Partnership Details

• Organisations: RBL Bank Ltd and Life Insurance Corporation of India (LIC).
• The consensus: A bancassurance partnership.
• Purpose: To provide the products of the life insurance company LIC to the customer base of the RBL Bank.

2. How it Works & Customer Access

• Channels: RBL Bank customers have access to LIC products via the following channels of the bank:
  • Wide branch network.
  • Digital channels.
• Product Range: The customers will be able to access the wide range of LIC products, such as:
  • Term insurance plans
  • Endowment policies
  • Pension plans
  • Unit-Linked Insurance Plans (ULIPs).

3. Scale & Strategic Importance

• Combined Network : Bases itself on the network of LIC of more than 3,600 branches, and RBL Bank of about 570 branches(and its wide network of business correspondents).
• National Vision: The national goal of the Insurance for All, 2047 is assisted through the increase of insurance penetration and financial protection.

4. Leadership

• The announcement of the partnership was made in the presence of the top management of both the organisations, which included Shri R. Doraiswamy (CEO & MD, LIC) and Shri R. Subramaniakumar (MD & CEO, RBL Bank).

What is Bancassurance?

• Definition A distribution partnership is the sale of insurance products of an insurer tied bank to its retail customers.

Mutual Benefit:

• In the case of Banks: Receives fee-based revenue.
• To Insurers: Reaches a wider range of customers without necessarily having to add more sales staff.