Mumbai: The Tata AIG group has entered into a Bancassurance partnership with Sangli Bank Ltd. The bank will market products and services of both Tata AIG Life Insurance Company and Tata AIG General Insurance Company through its network of 189 branches across the country.
According to Trevor Bull, managing director, Tata AIG Life Insurance, the partnership "will not only help us to leverage the inherent synergies in the rural areas, but also bolster our commitment to serving the rural community."
The bank estimates that it has about 100,000 customers - mainly in the rural areas - who can afford insurance products. Sangli Bank hopes to earn about Rs 1 crore by selling the Tata AIG products to its customers.
Sangli Bank, which has a presence in seven states, has an extensive network in the affluent farm belt of Western Maharashtra, including districts like Pune, Satara, Sangli, Kolhapur and Nashik.
Tata AIG has been actively seeking to expand coverage in the vast rural hinterland of India. It recently announced a foray into micro insurance, launching three life insurance products aimed at the rural folk.
The company aims to earn about Rs 1 crore a month following the launch of these products, and hopes to rope in about 100,000 customers.
The company recently also announced a tie-up with state-owned Punjab National Bank (PNB), providing insurance cover to home loan borrowers. Its mortgage reducing term assurance will take care of the outstanding debt in case of the customer's death.