Bank-insurance – an opportunity for development and improvement of financial market

Dicevska, Snezana; Karadjova, Vera

doi:10.20544/horizons.a.20.1.17.p24

Cited by 2 publications

(2 citation statements)

References 0 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Bancassurance is used to describe the partnership between a bank and an insurance company through which an insurance company uses a bank sales channel to sell insurance products (Dicevska, & Karadjova, 2016). Different types of Bancassurance models are classified according to the specifics of interaction and dependence of participants:…”

Section: Resultsmentioning

confidence: 99%

Model Assessment of Interaction between Banking and Insurance Segments of the Financial Market

Иванов

Maksyshko

2021

EJMI

View full text Add to dashboard Cite

Purpose: To develop a model of interaction between banks and insurance companies, allowing for a joint model assessment from the point of view of the possibility of sustainable operation and development. Findings: The article develops the theory of dynamic systems and a numerical method for solving the problem of assessing the results of interaction between banks and insurance companies based on a system of differential equations. The additive and multiplicative types of interaction are considered. The results of interaction are analyzed for various variants of the influence of the activities of the studied subjects. Practical Implications: The proposed approach is applicable to assess the effectiveness of the used model of interaction between banks and insurance companies. Originality/Value: The author's model of interaction between banks and insurance companies is original. The model has no analogues in the scientific literature of the studied subject area. Research Limitations/Future Research: The study proposes a generalized dynamic model of interaction without specifying the content of variables and the procedure for determining the input parameters. Its description and application determine potential areas for further research. Paper type: Theoretical.

show abstract

Section: Resultsmentioning

confidence: 99%

Model Assessment of Interaction between Banking and Insurance Segments of the Financial Market

Иванов

Maksyshko

2021

EJMI

View full text Add to dashboard Cite

show abstract

“…Bancassurance is used to describe the partnership or relationship between a bank and an insurance company whereby the insurance company uses the bank sales channel in order to sell insurance products. [6] In this arrangement, insurance companies and banks undergo a tie-up, thereby allowing banks to sell the insurance products to its customers. By selling insurance policies bank earns a revenue stream apart from interest.…”

Section: Cooperation Between Banks and Insurance Companies -Bancassurmentioning

confidence: 99%

Advantages and Disadvantages of Cooperation Between Banks and Insurance Companies

Dichevska¹,

Tourism²,

Hospitality-Ohrid³

et al. 2018

Recent Advances in IT, Tourism, Economics, Management and Agriculture

Self Cite

View full text Add to dashboard Cite

Financial derivatives are financial instruments that cause major changes in financial markets. They appeared in order to protect the transistors' from a certain form of market risk, but also with the intention of making profit. The paper analyze a topic related to the forms of cooperation between the financial market entities, especially the cooperation between banks and insurance companies in the sphere of sale of insurance policies, to be more precise-bank insurance. Banking and insurance are complementary parts of the financial system. Bank insurance is relationship between a bank and an insurance company, whereby the insurance company uses the bank sales channels in order to sell insurance products, an agreement in which a bank and insurance company agree in a way that the insurance company can sell its products to customers of the bank. Insurance companies sell their insurance products through their direct sales network or through distribution channels, of which the most important are insurance brokers and agents. With the involvement of banks in the sale of insurance products in the 1980s, the development of bank insurance began in Europe and since then it has become increasingly widespread throughout the world. In the narrowest sense, bank insurance implies the sale of insurance products through a bank, while in a broader sense it is defined as a joint venture between banks and insurance companies in order to enable insurance products to reach customers of banking services. Banking is a winning combination for both institutional partners in a business relationship. The Bank enriches the offer of financial services for its customers by selling or integrating insurance products, while at the same time it receives a new source of income, while the insurance company uses the bank's marketing and increased sales through access to a significantly larger potential customer base. The focus of the bank are the consumers, and the success of this business cooperation depends on the synergy of the three most important elements, namely marketing strategy, organizational culture and market conditions. The banks and insurance companies have certain problems in its functioning, which can arise as a result of several reasons. The problem with the functioning of the bank insurance is in the various sales philosophies of banks and insurance companies. Banks have a passive sales philosophy, conditioned by traditional demand, while insurance companies have an aggressive sales philosophy.

show abstract

Bank-insurance – an opportunity for development and improvement of financial market

Cited by 2 publications

References 0 publications

Model Assessment of Interaction between Banking and Insurance Segments of the Financial Market

Model Assessment of Interaction between Banking and Insurance Segments of the Financial Market

Advantages and Disadvantages of Cooperation Between Banks and Insurance Companies

Contact Info

Product

Resources

About