Bancassurance refers to a partnership between an insurance company and a bank. Bancassurance is often used when a bank offers insurance products or insurance benefits to the bank's customers. With other words, the bank is used as a distribution channel for insurance products.
With current digitalization of both the insurance and finance industry, bancassurance enables banks to become a central touchpoint for personal finance, including insurance. By creating engaging digital insurance touchpoints, a bank can help the consumer understand their insurance policies better, identify their insurance needs and target them with personalized and relevant insurance offerings.