Agriculture Insurance Company of India (AIC) and India Post Payments Bank (IPPB) have signed a Corporate Agency Agreement for distribution of AIC’s crop insurance products through the vast postal network of nearly 1.55 lakh post offices and 3 lakh postal employees across the country.
“This strategic tie-up will be a win-win for both AIC and IPPB and will be beneficial mainly to the small and marginal farmers of the country at large, IPPB has said.
AIC is a specialised crop insurance company formed by Government of India. It is the market leader in crop insurance in India. India Post Payments Bank (IPPB) has been established under the Department of Posts, Ministry of Communication with 100 percent equity owned by Government of India.
India Post Payments Bank was launched on September 1, 2018 with the vision to build the most accessible, affordable and trusted bank for the common man in India. The fundamental mandate of IPPB is to remove barriers for the unbanked, underbanked and reach the last mile leveraging the postal network comprising 155,000 post offices (around 135,000 in rural areas) and 300,000 postal employees.
Agriculture Insurance Company of India (AIC) was incorporated on December 20, 2002 and has been promoted by 6 public sector financial institutions Viz. General Insurance Corporation, New India Assurance Company, Oriental Insurance Company, National Insurance Company, United India Insurance Company and National Bank for Agriculture and Rural Development (NABARD) as a speciality crop insurance provider to the Indian farming community. The company is under the administrative control of Ministry of Finance, Government of India.