On The Problems And Countermeasures In The Development Of Bancassurance In China

Bancassurance, which is also called co-operation between banking and insurance, is defined that bank associates insurance by providing a complete range of banking, investment and insurance products and services . Bancassurance comes into being under the background of the great changes of the finance,revenue and legislation in Europe . The ultimate reason is that the inflation, smart fluctuation in finance market , great extent changes of interest rate and exchange rate in western country after 1980s'. The changes have begotten tidal waves of finance innovation. And the amalgamation and saturation of banking and insurance produce new type of insurance sale operation---Bancassurance. The modes of Bancassurance can be the insurer's selling insurance products directly which is set up by a bank, or can be a bank's entering insurance by purchasing or combination with the insurer in existence ,or can be setting up a joint venture insurer by a bank and a insurer through signing the cooperation agreement, or can be the bank's selling a insurer's products through its sale system after signing the cooperation agreement between bank and insurer .Bancassurance emerged in China in 1996 which is regarded as appearing later than Bancassurance overseas. Although developed rapidly in a few years, it is only the beginning phase. It is proved by the following representations: the small proportion of Bancassurance premium to total premium and revenues of the bank, the big gap of operation scale and developing speed, the similar products between different insurers, the single sale means, the aboil competition in price ,The low operation level, the weak speciality of the bank salesmen and lack of after-service. There are many reasons to bring on the...