The sale of insurance and other similar products through a bank to help it customers at situations is known as Bancassurance. Development of Bancassurance in India began to improve the channels of insurance policy so as to reach the hands of the common, to widen the area of working of banking sector, to improve the services of insurance. The Reserve Bank of India and the insurance development and regulatory authority have a set of guidelines for companies to form Bancassurance. It basically encourages people to buy insurance policies increasing the number of providers. It also has demerits such as interest conflict of bank and insurance policies, compromising on data security, etc. Read more about this article at: http://tips.thinkrupee.com/articles/bancassurance-in-india.php