Bancassurance Global Update: Lessons from Around the World in China, India, Europe, and US

by Catherine Stagg-Macey, March 12, 2008


London, United Kingdom 12 March 2008

The success of bancassurance and expectations regarding future growth rates vary tremendously across regions. In Europe, the channel is mature, while the United States, despite years of investment, has a lower penetration rate than China and India. It is these emerging countries that will continue to see significant expansion of this channel.

IT has a crucial role in making bancassurance profitable, but this requires a deep commitment on behalf of both banks and insurers to the establishment of beneficial partnerships and significant levels of investment. In a new report, , Celent examines the success of this distribution channel in China, India, the United States, and Europe and examines some IT best practices.

This report is a useful tool for insurers in countries such as Japan, China, and India, where bancassurance is an emerging channel. The sections on IT best practices will help inform insurers on where to focus their attention. It is also of interest to insurers in the US and countries in Europe such as the United Kingdom, where bancassurance has not been as successful as its continental counterparts. For these insurers, the question is "to be or not to be" in the bancassurance channel. This distribution channel has been made to work in these countries, and it is through case studies that some of the reasons become apparent.

"It's interesting to look at the key factors that differentiate a successful bancassurance model from one that just can't seem to get off the ground," says Catherine Stagg-Macey, co-author of the report and senior analyst with Celent's Insurance group. "It's a mix of macro variables that function independently of insurers' actions and elements such as business models and technology that are very much within their control."

This report analyses the bancassurance markets in Europe, the United States, China, and India, drawing on success stories in several places. It looks at best practice IT approaches that can be used in the management of this important distribution channel.

The 35-page report contains four tables and 13 figures. A table of contents is available online.

Members of Celent's Life/Health Insurance and Property/Casualty Insurance research services can download the report electronically by clicking on the icon to the left.  Non-members should contact for more information.  

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned operating unit of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
Tel: +1 212 345 1366

Europe (London)
Chris Williams
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
Tel.: +81 3 3500 3023

Table of Contents

London, United Kingdom 12 March 2008


Executive Summary 04
Introduction 05
Key Findings 06
European Bancassurance:  The Birthplace 08
US Bancassurance: Still Limited 15
Bancassurance in India: Buoyed by Initial Success 23
China Bancassurance: A Fast-Growing Channel 26
Lessons from Around the World 31
IT Best Practices 32
Conclusions 36


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