UCPB’s partnership with life insurance company, COCOLIFE, and non-life insurance company, UCPB General Insurance Co., Inc., is paying solid dividends for the bank.
In the nine months following its launch in April 2017, the bancassurance partnership generated total premiums of P1.05 billion from the sale of insurance policies of the two companies to the Bank’s customers.
Bancasssurance is an arrangement between an insurance company and a bank whereby the former sells its products to the latter’s clientele.
The partnership benefits UCPB in two ways. One, it makes readily available to the Bank’s clients a variety of insurance products to secure their future and to protect them against financial losses; and two, it provides the Bank itself with a steady source of topline revenues with high growth potentials.
UCPB President and CEO Higinio O. Macadaeg, Jr. said bancassurance dovetails perfectly with the Bank’s thrust to leverage the nationwide reach of its network of 188 branches and focus on the retail and consumer markets.
“Our individual depositors and borrowers present a huge market for insurance products,” he said pointing out that as these customers progress in their businesses and careers and goes through the various stages of their personal lives, “they will be needing more risk cover, from the basic motor, fire and life insurance to health, retirement and estate plans as well as new investment outlets.”
UCPB Vice President for Bancassurance, Merline S. Dela Cruz, sees the volume increasing dramatically this year as the Bank continues to expand its loan portfolio and deposit base, and this, she said, “would double the new business’ production by year-end.”
Ms. Dela Cruz said a key driver of volume growth would be the Variable Life insurance, a life insurance coverage with an investment component, which the bancassurance partnership will push aggressively this year.
UCPB secured Bangko Sentral ng Pilipinas approval to sell the hybrid insurance late last year.
Date published: March 8, 2018