South Indian Bank targets Rs8 crore fee income

30 August 2007

Chennai: The Thrissur-based private bank South Indian Bank Limited is planning to increase sales of financial products of other companies so as to increase its fee-based income.

Earning Rs1 crore last year from this activity the bank is targeting a fee based income of Rs8 crore this fiscal. Dr V A Joseph, chairman and CEO said the target for the current year is Rs8 crore.

The bank has tied up with six mutual funds, life and non-life insurers to sell their products through its branches.

On Wednesday the bank signed a bancassurance deal with the Pune-based Bajaj Allianz General Insurance Company Limited scrapping its earlier deal with United India Insurance Company Limited.

"We now have a 200-member strong separate marketing team to sell these products," Dr V A Joseph, chairman and CEO told reporters in Chennai on Wednesday after signing a new bancassurance deal with Bajaj Allianz General Insurance Company Limited.

The bank plans to tap its Non Resident Indian (NRI) customer base to sell health insurance policy of Bajaj Allianz apart from convincing its borrowers, corporate and others, to take property and group insurances through it.