Old Mutual, Ecobank Partner on Bancassurance

By Dipo Olowookere

A bancassurance partnership has been entered into between Ecobank Nigeria and Old Mutual General Insurance Company, alongside its sister firm, Old Mutual Nigeria Life Assurance Company.

The deal is aimed at offering insurance products and services to existing and prospective customers of both firms.

Business Post reports that bancassurance is an arrangement between a bank and an insurance company allowing the insurer to sell its products to the lender’s client base. This partnership arrangement can be profitable for both companies.

According to a statement issued by the insurer, the partnership, known as ‘Bancassurance Referral Model,’ offers Old Mutual an extensive outlet to offer life and general insurance products to Nigerians across 62 Ecobank branches in Lagos, Port Harcourt, Abuja and Ibadan.

It was disclosed that the deal is expected to be extended to 200 branches across Nigeria by 2019 and has the approval of the National Insurance Commission (NAICOM) and the Central Bank of Nigeria (CBN), the regulatory agencies in charge of the two partnering firms.

Managing Director of Old Mutual Nigeria Life, Mr Keith Alford, was quoted in the statement as saying that, “Having been in partnership with Ecobank on other fronts of our business over the years, this bancassurance partnership further strengthens the capacity of both financial institutions to offer multiple access points for our various products and services to customers across Nigeria and indeed Africa.

“This is very unique and strategic. Through this partnership, Old Mutual will leverage on Ecobank’s existing customer base, and wide distribution to promote financial inclusion and insurance penetration whilst pushing our brand offerings to customers of Ecobank.

“Customers and corporates with multiple footprints across African markets now have a one stop shop for all their bancassurance services within the continent.”

Also commenting, the Executive Director, Consumer Banking, Ecobank Nigeria, Mrs Carol Oyedeji, said, “We are delighted to be consolidating our longstanding partnership with Old Mutual in Nigeria.

“It is an alliance of brands whose pan-African agenda and customer delivery objectives align perfectly. This strategic partnership is one of the ways Ecobank Nigeria aims to create a one-stop hub for robust financial services offerings.”