Indian Bank expects to garner Rs 25 crore premium

Indian Bank expects to sell about three lakh insurance policies and garner an income of Rs 25 lakh from premium in the next six months from its tie-up with Life Insurance Corporation of India to provide insurance products to its customers.

Addressing the media, B Sambamurthy, executive director, Indian Bank, said that the insurance tie-up with LIC will enable its depositors as well as customers, who avail themselves of loans, to receive an insurance cover.

Under the 'IB Griha Jeevan' for home loan borrowers and 'IB Jeevan Vidhya' for students who have taken educational loans, the premium is paid by the bank at the customers' option as a loan component to be recovered along with the equated monthly installments.

R Venugopal, executive director-pension and group scheme, LIC of India, said this was the eleventh bank the corporation was providing such a customised group cover.

Venugopal pointed out that the LIC had clocked Rs 1,584 crore from group insurance till November 15, an increase of 10 per cent over the last year.

For the term deposit holders in the age group of 56-64, the bank has brought out IB Varishtha, for a life insurance cover of Rs 50,000 and double accident benefit of Rs 1lakh, the premium being Rs 828.