Bajaj Allianz Life looks at new bank tie-ups to foster growth

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bajaj2 Bajaj Allianz Life Insurance is looking forward for tie-up with more banks for boosting business growth, a top official has revealed.

They only have a tie-up with Dhanlaxmi Bank as a bancassurance partner at present.

“We are looking for more partnerships with banks to sell individual life insurance policies,” said Anuj Agarwal, MD and CEO, Bajaj Allianz Life,  adding banks are engaged in the process of talks and developing tie-ups.  “The insurer has completed 15 years of inception.”

In October 2015, the insurer had announced they have tied-up with Dhanlaxmi Bank for the latter to become a corporate agent of the insurer. As part of the agreement, the bank will continue to be a corporate agent for nine years and sell life insurance products of Bajaj Allianz Life Insurance.

It may be noted Dhanlaxmi Bank has been a partner of Bajaj Allianz Life Insurance since 2009.

With two large life insurance companies HDFC Life Insurance and Max Life Insurance planning to merge, the stage is set for consolidation in the insurance space.

Agarwal said while it was believed that mergers and acquisitions will begin from smaller players getting together, the proposed merger of two large player shows the requirement to increase the asset rise.

He said their combined asset size post merger will be more than Rs 1 lakh crore. “Our asset size is currently at Rs 45,000 crore. If there are smaller players who are available or even others; there have been some banks who had initially entered the insurance industry and not making too much profits.”

“If there is a possibility, it will be a good opportunity for us,” he added.

Bajaj Allianz Life Insurance saw a 13.4 per cent growth in Rated New Business premium in Q1 (YTD).