Bancassurance and its status around the world - Scor

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of profit-sharing for insurance products (term insurance, disability/critical illness, health, etc.). But, as with the other products, the bank retains control over the motivation of its sales force. Each Caisse is free to redistribute this commission or not. The way sales personnel are rewarded can also vary from one product to another. Variable remuneration does not seem to depend on the number of products sold; that would be too simple. The amount of the insured sum also counts, as can the performance of the product. Even in France where the bancassurance market is mature, certain bancassurance operators have only recently introduced variable remuneration. In Spain, to change habits and encourage bank personnel to offer customers insurance policies, Caja Madrid has established new targets, representing 45% of the branch staff’s overall sales targets, on top of which come the sales commissions and the management fees applicable to existing policies. In Latin America, the bank and/or its employees or agents are paid a commission on new policies and policy renewals. In Greece, as in certain Asian countries, the top sellers are rewarded with gifts: holidays, microwave ovens, telephones, etc. 17 focus october 2005 Bancassurance
Case study: Italy – MONTEPASCHI VITA Montepaschi Vita MPV was Italy’s first bancassurance operator. It was jointly created in 1991 by the Monte dei Paschi di Siena banking group (known as the world’s oldest bank still in business – created in 1472!) and the SAI Company. Since January 1, 2001, it has been wholly owned by the Monte dei Paschi di Siena Group, which now boasts a network of 1,802 branches covering the whole country. Its bancassurance business began with the sale of traditional products: mixed policies and life insurance primarily providing cover for families. Five years later, it extended its range to unit-linked and index-linked products and euro- or liredenominated contracts. Mortgage loan insurance in Italy only began in 2000. Because customer pressure on lending costs (interest rates and insurance premiums) is very strong, loan protection insurance continues to play a very minor role. As a result, Montepaschi Vita’s portfolio currently consists equally of so-called “risk” products and savings products. Key figures for Montepaschi Vita: • No.8 in the Italian life insurance market in 2003 • 3,7 8% market share • Total premiums in 2003: €3.193 millions • Net income from life insurance in 2003: €30.791 m • 101.000 new policies in 2003 18 focus october 2005 Bancassurance
Page 1 and 2: focus Oct. 2005 Analysis of Bancass
Page 4: Editorial As a leader in life & acc
Page 8 and 9: Preambule I Pierre-Denis CHAMPVILLA
Page 10 and 11: this difficulty, potential exporter
Page 12 and 13: How and why go into bancassurance?
Page 14 and 15: ● The special relationship betwee
Page 16 and 17: What are the key factors for the su
Page 18 and 19: Exploiting these keys to success An
Page 20 and 21: Regulation/Tax Banking law 1984 in
Page 22 and 23: Establishing, training & motivating
Page 26 and 27: The products When asked, several ex
Page 28 and 29: Which life insurance products are s
Page 30 and 31: Our reference here is the French ba
Page 32 and 33: ● The possibilities of extending
Page 34 and 35: A world tour of bancassurance In pr
Page 36 and 37: offensive. The figures more than sp
Page 38 and 39: Asia: A promising start The Asian f
Page 40 and 41: distribution networks. In the space
Page 42 and 43: Twenty years ago, everyone agreed t
Page 44 and 45: In Israel, despite the legal prohib
Page 46: Conclusion It is difficult to draft

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