A Hypothesis of Diversification of Business Activities in Banks: Integration of the Banking Sector with the Insurance Sector

Abstract:     
The growing need for diversification in Italian banks can easily look to the insurance market, which has interesting opportunities from both the point of view of size and growth rate, and also from the point of view of the multiple nature and various kinds of relations that are being set up, also further to what has happened in countries with more advanced financial systems, between banks and insurance companies. Also, the “life insurance” products, the one with the highest development potential, are essential of a financial nature, therefore their sales does not require an actual extra capacity compared to the bank’s existing ones. From an operational point of view – in addition to equity-type agreements, such as stock swaps and the setting up of joint ventures – this means the possibility of mixing with the sale of products with the insurance company, that can sell the bank’s products and, for the latter, on the other hand, that it can stipulate insurance policies with its own clients.

Note: Downloadable document is in Italian.

Number of Pages in PDF File: 18

Keywords: Strategy organizational models, management in bank

JEL Classification: G24

Accepted Paper Series