Smart choices in bancassurance

You walk into your bank to open a savings account—and come out with a life insurance policy. No separate visits, no confusing paperwork, no unfamiliar agents. Just one trusted institution handling both your financial needs and your future protection.

This is the promise of bancassurance, a growing model in Bangladesh where banks are no longer just places for deposits, loans, and payments—they're also becoming hubs for insurance services. By offering protection plans alongside everyday banking, institutions are making insurance more accessible, understandable, and—for the first time in many cases—trusted.

"We have seen numerous success stories where families and businesses were protected—simply because a relationship officer took the initiative to have that important conversation," said Mahbubur Rahman, Chief Bancassurance Officer at BRAC Bank.

Explore life insurance plans that future-proof your family

Life insurance provides financial security for your loved ones, ensuring your responsibilities are covered even in your absence. "The dual benefit of risk coverage and long-term savings of life insurance plans, aligns well with customer needs, making them more acceptable," commented Md. Ahsan-uz Zaman, MD & CEO, Midland Bank.

Almost all banks offer life insurance products in collaboration with different insurance companies. For instance, City Bank offers conventional life insurance in collaboration with Guardian Life Insurance as well as shariah-compliant plans in partnership with Akij Takaful Life Insurance for customers seeking faith-based options.

Additionally, the bank offers life insurance bundled with their loan products. "Our personal loan facility includes life insurance coverage of 200% of the loan amount, up to BDT 40 lacs, provided by Guardian Life Insurance,"

said Md Ashanur Rahman, DMD, Chief Economist & Country Business Manager, City Bank. "Moreover, our SME and remittance beneficiary loan products provide life insurance coverage of up to BDT 10 lacs, underwritten by Guardian Life Insurance and Delta Life Insurance."

Life insurance plans like BRAC Bank's Future Star ensure that even in the absence of parents, a child's education never comes to a halt. "Our primary focus is on life insurance products—such as credit life, term plans, and savings-linked policies," added Mahbubur Rahman, Chief Bancassurance Officer at BRAC Bank.

Midland bank has introduced short-term money-back plans and long-term life policies that combine financial protection, savings, and attractive bonus benefits - ensuring both security and future planning for the customers and their families.

Prime Bank also offers life insurance services through their partner National Life Insurance. "We have already introduced an affordable short-term life insurance product in the Market-Prime Life. This product is providing life insurance coverage for one year from as low as BDT 345," noted M. Nazeem A. Choudhury, Deputy Managing Director, Prime Bank.

More institutions like Dhaka Bank and Trust Bank are planning to launch bancassurance soon, with primary focus on life insurance products. In this regard, Ahsan Zaman Chowdhury, Managing Director & CEO of Trust Bank commented, "Initially, Trust Bank will offer life insurance, health insurance, and personal accident coverage through partnerships with reputable insurance providers."

If you're considering life insurance through bancassurance, start by checking with your bank to see if they already offer suitable plans or have any upcoming launches in the pipeline. Today, banks and insurance companies are collaborating more closely than ever to simplify life insurance products that were once overly complex or mismatched with the financial realities of everyday customers—making protection easier to understand and accessible for all.

Other general insurance options for every situation

General or non-life insurance products offer essential protection for the things that matter most in your daily life—your health, home, car, business, and more. These plans are designed to shield you from unexpected financial losses due to accidents, natural disasters, or other unforeseen events.

Recognising this need, bancassurance offerings are now providing personalised non-life insurance plans designed to fit your lifestyle, needs, and the unexpected moments life throws your way. "Our products are tailor built to satisfy the customers' needs i.e., Pension for Old Age, Children's Education, Hajj and even for Den-Mohor. We offer both conventional and Takaful Insurance for our customers," said Choudhury from Prime Bank.

Beyond these, a wide range of additional coverage is also available through bancassurance, ensuring all aspects of life are well protected under one roof. M Khorshed Anowar, Deputy Managing Director at Eastern Bank, noted that their non-life portfolio includes motor, health, and travel insurance.

Further expanding on this, Zaman from Midland Bank said, "In non-life insurance, we are authorised to provide Motor, Travel, Agricultural, and Crop Insurance. Initially, Motor and Travel Insurance are being offered through our partnered companies. We will introduce the others gradually."

These non-life insurance coverages act as crucial safety nets, protecting both your well-being and your wallet. Health insurance, in particular, has become a smart necessity amid rising medical costs and limited public healthcare services.

As Md Ashiq Iqbal, Social Policy & Economic Specialist at UNICEF, pointed out, "Per capita public health expenditure in our country is just BDT 1,326 (FY23), with out-of-pocket spending as high as 70%, indicating heavy reliance on private healthcare." In such a scenario, having health coverage isn't just wise—it's essential.

Bancassurance is rising to meet this growing demand. Choudhury from Prime Bank shared, "We plan to offer health insurance, which is a highly need-based product designed to safeguard the health and financial security of families."

Other banks are also gearing up to expand their non-life insurance offerings. BRAC Bank shared their future plan of expanding bancassurance to provide more general insurance options, as Mahbubur Rahman said, "We're actively exploring general insurance offerings like health and motor insurance as part of our future roadmap."

Ashanur Rahman from City Bank echoed a similar goal, saying, "By the end of this month, we will expand our portfolio to include motor insurance, offered through our partnership with Reliance Insurance Limited.