New York Life eyes 30% surge in bancassurance

New York Life Insurance Philippines is eyeing a minimum 30-percent growth in its bancassurance business end 2006.

"Through our partnership with Allied Bank, we are building on complementary strengths to boost growth," George May, New York Life president and chief executive officer, said.

"Bancassurance, or the selling of life insurance products by banks, is an important marketing channel in our distribution network."

In the past three years, bancassurance has lifted the insurance industry’s total premiums to $200 million, with recurring premiums pegged at $100 million a year.

It accounts for almost half of total premiums generated by insurance companies.

"Our bancassurance portfolio represents new business opportunities, not just a substitution of existing channels. We still have a small market compared to our Asian neighbors like Hong Kong, Thailand, and Taiwan, but I believe we are slowly catching up," he said.

New York Life’s agency frontliners and bancassurance outlets are reportedly doing "a good job" going around and explaining the value of having an insurance policy.

"Our growth as a company automatically translates to more and more Filipinos becoming insurance policyholders. In these uncertain times, it heightens our sense of purpose as a life insurance company securing the future of more Filipino families," May added.