Private insurer IndiaFirst Life Insurance today said it has tied up with Vidharbha Kshetriya Gramin Bank - a regional rural bank sponsored by Central Bank of India, to reach out to its customers in the hinterland of Maharashtra.
"This new tie-up will help us serve our customers in rural areas in a better and effective way. There is an urgent need in the country to not only take financial services to the rural populace but also to make them financially literate for true development to take place," IndiaFirst Life Insurance Managing Director and CEO P Nandagopal said in a release issued here.
The insurable population of the functional area of Maharashtra is about one crore, from which the company expects to cover nearly 1,00,000 accounts in three years.
Through this tie-up with Vidharbha Kshetriya Gramin Bank, IndiaFirst will reach over 100 branches across five districts.
IndiaFirst is already present in Maharashtra through over 455 branches of Bank of Baroda and Andhra Bank with Maharashtra contributing approximately 12 percent of its total business.
Vidharbha Kshetriya Gramin Bank launched the Group Term Plan today that provides a life cover of Rs one lakh for mere Rs 264 per year and Group Credit Life Insurance to cover home loan, personal loan and educational loan for its existing and as well as new loan customers.
"We are keen on spreading protection to the five districts of Maharashtra -- Akola, Amaravati, Wasim, Buldana and Yavatmal -- through the saving and loan accounts of Vidharbha Kshetriya Gramin Bank," Vidharbha Kshetriya Gramin Bank Chairman M A Salam said.
IndiaFirst is promoted by two public sector banks – Bank of Baroda and Andhra Bank along with UK's leading risk, wealth and investment company Legal and General.
Bank of Baroda holds a 44 per cent stake in IndiaFirst, while Andhra Bank and Legal & General hold a 30 per cent and 26 per cent stake respectively.