AB Bank launched a new product, "AB Nishchinto" to provide life insurance coverage of up to Tk80 lakh against a fixed deposit of more than Tk10 lakh, without any premium.
"AB Nishchinto" is a unique scheme under which clients will get both interest and life insurance benefits, said AB Bank's President and Managing Director Tarique Afzal at the product launching ceremony at Pan Pacific Sonargaon Dhaka Hotel yesterday.
The premium for life insurance will be paid by the bank on clients' behalf, he said. Metlife is the strategic partner of AB Bank to ensure coverage of life insurance.
AB Bank, a well-known private bank, is about to step into the 39th year, with 103 branches across the country.
Tarique said the product had been designed with the thought of insecurity that the pandemic had instilled in people.
According to AB Bank, the family of a policyholder will get Tk50 lakh if he dies in an accident, against a fixed deposit of Tk5 to Tk10 lakh. For an amount above Tk10 lakh, the benefit will be Tk80 lakh. But in case, the policyholder dies a natural death, the insurer will provide Tk20 lakh.
People aged between 18 and 64 will be able to take advantage of the scheme. One will have to have a minimum of Tk25,000 in his savings account or current account to open an "AB Nishchinto" account.
Head of the retail banking of AB Bank, Abdur Rahman said clients would be able to open individual or joint accounts. In case of joint accounts, the primary account holder will be the beneficiary of life insurance.
After opening of an account, Metlife will issue an insurance certificate.
Abdur Rahman said there was no ceiling on deposits but a policy would remain valid for a year to be renewed upon expiry.
But to be insured, the policyholder will have to be under the age of 65.