The Concept of Bancassurance and a Survey on Attitude of Bank Sales Personnel Towards Insurance Products

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Prepared by Özberk Uğurer
Prepared for Aslı Yüksel Mermod
Istanbul, 09.01.2009


In this study, we will review the bancassurance which is a globally developing concept in both banking and insurance sectors around the world. The article will include definitions of general terms of assurance, overview of international and national statistics in recent years, and components of bancassurance. We will later focus on one of the major components of bancassurance, the sales force. The approach of bank sales staff to insurance products is directly related to success of bancassurance function of banks. To analyze the latter part, we will base on survey results conducted between sales personnel of Turkish banks. And lastly we will evaluate our findings to suggest ways of improving bancassurance performance of banks and service provided to customers. This survey is to draw attention to the bancassurance which has much more important role in a financially instable world with a lot of risks to hedge and provide insight to managerial positions of Turkish banks.


The aim of this research is to analyze perspective of bank sales personnel on insurance products and to suggest methods for improving bancassurance performance of existing banks in Turkey. The whole finance world is shaken with recent crisis which showed us even the biggest financial actors around the world are susceptible to risks without proper risk management. Although Turkey was one of the lesser effected countries, bancassurance still have a greater importance to manage the risks of both financial institutions and their customers. In these times of need, improving bancassurance structure of the banks via reaching greater portion of customers with more educated and aware sales staff is very vital. By analyzing the attitude of financial advisors of Turkish banks with the help of our survey, we can say that general point of view of these people are positive towards insurance but usually they are not trained enough on the topic thus they avoid sale of assurance products or they believe that this function should be performed by separate people from insurance companies which conflicts with very idea of bancassurance which focuses on both decreasing cost and price of assurance products to create a win-win situation for both banks and the customers. Based on literature review, we can conclude that there are limited sources on this topic. And the most of the published sources are based on countrywide facts and figures and generalized in reviewing bancassurance. To make a more specific research based on surveys with actual people working in banking sector will bring a different and more importantly more realistic point of view on bancassurance.


Insurance: A promise of compensation for potential future losses in exchange for a periodic payment. Insurance is designed to protect the financial well-being of an individual, company or other entity in the case of unexpected loss.[1] Insured: The person, group, or property for which an insurance policy is issued.[2] Insurer: The party to an insurance arrangement who undertakes to indemnify for losses.[3] Sales Channel: The means used by companies to make their products and services available to their target market, examples include direct channel (sold by the company's sales force), distributors, retail stores, manufacturers' reps and value added resellers.[4] This content can be found on the following page:

Bancassurance: A strategy adopted by banks or insurance companies aiming to operate in the financial market in more or less integrated manner.[5] Integration:  Process of attaining close and seamlesscoordination between...
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