HDFC Bank-CBoP Merger Echoes In Insurance Sector

HDFC Bank-Centurion merger will be a big blow to Aviva Life Insurance.

Under bancassurance pact, Aviva products will be sold by CBoP, while HDFC Bank sells insurance for its division, HDFC Standard Life.

As per existing insurance laws, a bank can’t sell products for more than one insurance company.

CBoP is one of the largest institutional distributors for Aviva, HDFC Bank, on the other hand, is one of the largest insurance distributors for HDFC Standard Life.

HDFC Bank-CBoP Plans To Merge!

HDFC Bank, one of the largest private sector banks in India, is eyeing to merge Centurion Bank of Punjab (CBoP) with itself. This will be the biggest merger in Indian banking.

HDFC Bank-Centurion merger will not only make HDFC the seventh-largest bank in terms of assets, but also gives the ‘new bank’ a greater presence in states like Punjab, Haryana and Kerala.

The new merger will also offer innovative plans and services to its huge clientele.