Generali: bancassurance brings in 14% of revenues

Generali Asigurari estimates it will see revenues from bancassurance worth some 57 million RON (16 million euros) this year, given its sales partnerships with eight local banks.
“In 2006, revenues from partnerships with banks accounted for around 14% of the total revenues of Generali Asigurari. The share for 2007 depends largely on the number of partners we have when we complete our negotiations. The final share could account for 16-17% of our total operations,” stated Sorin Dragomir, executive manager of Generali Asigurari.
The company currently has partnerships with eight banks in the system: BRD, Soci?t? G?n?rale, HVB Tiriac, Piraeus Bank, ING (through Amsterdam Broker), ABN Amro, Libra Bank, Volksbank and Garanti Bank. “The market share increase may not seem that impressive. However, the perspective is different if we look at the total volume of premiums which we have estimated for 2007, worth around 360 million RON (102 million euros),” added Dragomir.
Eighth in the ranking of local insurers, Generali Asigurari saw a 129% increase in gross underwritten premiums last year, reaching 296 million RON (84 million euros), as well as 6.9 million-euro losses, because of the high value of claims settled for motor insurance.
Generally, the partnerships with banks closed by Generali cover both general insurance and life insurance.
The products are technically the same ones offered by the insurance company through its own sales network or through insurance brokers.
“We are currently in negotiations with a further 5 banks. By the time we start our collaboration, we will become established depending on how much time it takes to find common working methods. Usually, preliminary discussions are not aimed at deciding on insurance products, but focus on collaborating efficiently on a daily basis,” explained Dragomir.
He believes the advantages of collaboration come from the precision with which the banks assess all clients, who then become Generali clients as well.