REQUEST FOR PROPOSAL (RFP) " CORPORATE AGENCY ARRANGEMENT FOR GENERAL INSURANCE BUSINESS”

RFP REFERENCE NO RFP –02/Insurance/2015

DATE OF RFP DOCUMENT 09.10.2015

QUERIES 13.10.2015 till 16:00hrs

LAST DATE FOR SUBMISSION OF RFP 31.10.2015 till 16:00 hrs

DATE AND TIME OF OPENING OF TECHNICAL BID

2.11.2015 at 11:00hrs

ADDRESS FOR RECEIPT/SUBMISSION OF BIDS General Manager(IT) , Bangiya Gramin Vikash Bank, Head Office -BMC House,NH- 34,Chaltia, Po-Chuanpur, Dist.- Berhampur Murshidabad-742101(WB) NO. OF PAGES: 17

REQUEST FOR PROPOSAL (RFP) FOR "FOR GENERAL INSURANCE BUSINESS” A. General Information:

Bangiya Gramin Vikash Bank, a premier Regional Rural Bank having presence in 11 districts of West Bengal (hereinafter

called the "Bank") is exploring the possibility of entering into distribution partnership of General insurance products by way of

Corporate Agency Arrangement. The bank would want to become a corporate agent of general insurance company. Bank

invites proposals from existing general Insurance companies in India ('Bidder') for entering into corporate agency arrangement

with the bank for distribution of general insurance products in India". Bidders are hereby advised to carefully review and

submit all relevant information as sought in the RFP. Details of the objectives, scope of the services, eligibility and

qualification criteria, data & documents required to be submitted along with RFP, criteria that would be adopted for evaluation

of the responses for short listing and other information is contained in the RFP document. The RFP document can be

downloaded from the Bank's website www.bgvb.co.in. The last date and time for submission of proposals, complete with all the

requirements as given in the RFP document, is 16:00 hours on 31.10.2015.

B. About Bangiya Gramin Vikash Bank

Sponsored by United Bank of India, BGVB is one of the leading commercial Bank of India. The Bank has its Head Office in

Berhampur, Murshidabad. The Bank's operational area spreads in 11 Districts of West Bengal viz. Uttar Dinajpur, Dakshin

Dinajpur, Malda, Murshidabad, Nadia, North 24 Parganas, Soth 24 Parganas, Bankura, paschim Medinipur, Purba Medinipur,

Purulia.The Bank has 587 Branches.

The Bank was a corporate agent of Oriental Insurance Company for general insurance business and Bajaj Allianz Life Insurance

for life insurance business respectively. The license has expired on 06.09.2015 .

C. Objectives:

With a view to provide full range of financial products to its customers and to realize full value of its reach and customer base, Bank has taken a view to evaluate and thereafter enter into Corporate Agency Arrangement for distribution of General Insurance products in order to help them cover their assets against various kinds of risk.

D. Bidder's Eligibility Criteria (All mandatory provisions):

It is mandatory for the potential bidders to ensure that the following minimum eligibility criteria is met in order to participate

in the process:

1. Should have been registered with IRDA under the general Insurance category 2. Should have a valid IRDA license as on date of submission of RFP response , for procuring insurance business in India 3. The bidders should have multiple range of products to cater the need of various segments of customers. 4. The bidder should have the minimum solvency ratio of 1.5 as on 30.09.2015

E. Clarification and Amendment of RFP Documents

The Bidder may request a clarification on any clause of the RFP documents up to October 13th

, 2015. Any request for

clarification must be sent by standard electronic means to gmit@bgvb.co.in with cc to smpd@bgvb.co.in. The Bank will respond

in writing, or by standard electronic means and will load the responses on its website latest by October 16th

, 2015. Should the

Bank deem it necessary, it will amend the RFP as a result of a clarification.

At any time before the submission of Proposals, the Bank may amend the RFP by issuing an addendum and hosting it in the Bank's

website. The addendum will be binding on all the bidders. To give Bidders reasonable time in which to take an amendment into

account in their Proposals the Bank may, if the amendment is substantial, extend the deadline for the submission of Proposals.

F. Rejection of Bids: The Bank reserves the right to reject the Bid if,

• The Bid is incomplete as per the RFP requirements • Any condition stated by the Bidder is not acceptable to the Bank • If the RFP and any of the terms and conditions stipulated in this document are not accepted by the authorized representatives of the Bidder • Required information is not submitted as per the format given • Any information submitted by the Bidder is found to be untrue / fake / false • The Bidder does not provide, within the time specified by the Bank, the supplemental information / clarification sought by the Bank for evaluation of the Bid.

The Bank shall be under no obligation to accept any offer received in response to this RFP and shall be entitled to reject any or

all offers without assigning any reason whatsoever. The Bank may abort the entire process at any stage without thereby

incurring any liability to the affected Bidder(s) or any obligation to inform the affected Bidder(s) of the grounds for Bank's

action.

The deadline for submission of the Proposals is mentioned in Section A. Proposals received after the specified time on the

last date shall not be eligible for consideration and shall be summarily rejected.

G. Proposal Validity

All Proposals shall be valid for a period of 180 days from the last date of submission mentioned in Section A. The Bank

will make its best effort to complete the process within this period. However, should the need arise the Bank may request the

Bidder to extend the validity period of their proposals. Bidders, who do not agree, have the right to refuse to extend the

validity of their Proposals; under such circumstance, the Bank shall not consider such proposal for further evaluation.

H. Short listing & Selection of General Insurance Partner:

• The RFP response may be sent or submitted at Head Office of Bangiya Gramin Vikash Bank at the following address by

the due date and time as mentioned in this document. The General Manager - Bangiya Gramin Vikash Bank, BMC House, NH-

34, Chuanpur, Berhampur, Murshidabad-742101. West Bengal.

• The envelope need to clearly state “RFP RESPONSE FOR CORPORATE AGENCY ARRANGEMENT FOR GENERAL INSURANCE

BUSINESS”

• Bank Officials & a expert team as appointed by the bank ,will examine the documents submitted by the applicants in

connection with the Expression of Interest and prepare a list of qualifiers fulfilling the eligibility criteria

• They would further evaluate the responses and may call for any additional details as required. The qualified bidders

meeting the eligibility criteria will be called for a presentation and discussion.

The last date of submission of RFP is 31.10.2015 before 4.00 p.m. No proposal will be accepted after this date and time.

Bank will not be responsible for any postal delays and submission by way of e-mail is not acceptable. The Bank reserves the right to accept or reject any application without assigning any reason whatsoever.

FORM 1 Letter of Proposal submission

[Location, Date] To, The General Manager Bangiya Gramin Vikash Bank, BMC House, Chuanpur,Baharampur, Murshidabad - 742 101 (West Bengal) Dear Sir, Sub: RFP for proposed Corporate Agency Arrangement with BGVB 1. We, the undersigned are duly authorized to represent and act on behalf of [insert] (“Bidder”) 2. Having reviewed and fully understood all information provided in the RFP Document dated *insert+ (“RFP”) issued by the Bank, [Bidder] is hereby tendering the Bid. 3. Our Bid is unconditional, valid and open for acceptance by Bank up until 180 days from the last date of submission of the RFP. 4. We undertake that we shall make available to the Bank any additional information / clarification it may find necessary or require to supplement or authenticate the Bid. 5. We hereby agree, undertake and declare as under:

a. We declare that in the event that the Bank discovers anything contrary to our above declarations, it is empowered to forthwith

disqualify us and our Bid.

b. We undertake that in case due to any change in facts or circumstances or applicable law during the Bidding process, we are disqualified in terms of the RFP, we shall intimate the Bank of the same immediately.

c. We further declare that we have not been declared ineligible for corrupt or fraudulent practices in any bid process in the past five

years and have not been blacklisted by any governmental or regulatory authority in the past five years.

d. We confirm that the Bank and its authorized representatives are hereby authorized to conduct any inquiry or investigation to verify the veracity of the statements, documents, and information submitted in connection with this Bid and to seek clarifications from our advisors and clients regarding any financial and technical aspects.

e. We hereby irrevocably waive any right which we may have at any stage at law or howsoever otherwise arising to challenge or

question any decision taken by the Bank in connection with the selection of the Bidder, or in connection with the Bidding process itself, in respect of the above mentioned Proposed Tie-up and the terms and implementation thereof.

6. We understand that: a. All information submitted under this Bid shall remain binding upon us; and b. The Bank may in their absolute discretion reject or accept any Bid, cancel the Bidding c. We acknowledge the Right of the Bank to reject our Bid without assigning any reason or process for the Proposed Tie-up and reject all Proposals. Otherwise and hereby waive our right to challenge the same on any account whatsoever. d. Bank is not bound to accept any Bid that it may receive pursuant to the RFP

7. We acknowledge that the Bank will be relying on the information provided in the Bid and the documents accompanying such Bid for selection of the Bidders and we declare that all statements made by us and all the information pursuant to this letter are complete, true and accurate to the best of our knowledge and belief. 8. We hereby unconditionally undertake and commit to comply with the timelines as specified in terms of the RFP or as extended by the Bank from time to time at its sole discretion. 9. This Bid shall be governed by and construed in all respects according to the laws of India. Courts in Kolkata, shall have exclusive jurisdiction in relation to any dispute arising from the RFP, this Bid and the Bid process. We confirm that we are complying to the IRDA guidelines. Name of the Bidder Signature of the Authorized Person Name of the Authorized Person Company rubber stamp/seal

FORM -2 COMPANY INFORMATION

[Provide here a brief description of the background and organization of your firm/entity. The brief description should include ownership details, date and place of incorporation of the firm, authorized person submitting the proposal, his contact details, objectives of the firm etc]. Also provide snapshot of your operations in the format given below.

A. Amount in INR Cr

1 Name of the Applicant Firm

Board No.s – Head Office

Website

Complete address – H.O

2 Proportion of stake holding

3 Names of the JV Partners

1.

2.

3.

4.

4 Year of establishment

5 Date of Commencement of business of Business

Number of Employees 30.9.2015

Numberof Branches as on 30.9.15

Market Share as on 30.9.2015

6 Financial Information INR Crore 2012-2013 2013-2014 2014-2015

1. Invested Capital

2. Profit after Tax

3. Accumulated profit / loss

4. Networth

5. Solvency Ratio

6. Gross Premium

7 Claim Repudiation Ratio 2012-2013 2013-2014 2014-2015

1. Claim repudiation ratio Fire

2. Claim repudiation ratio Marine

3. Claim repudiation ratio Health

4. Claim repudiation ratio Motor

5. Claim repudiation ratio Other Business Lines

B. Please provide the Organization Structure & Hierarchy

C. Please provide the List of Top of Management Executives with Names , Designations and E Mail id’s

Name Designation E Mail Id

D. Please provide the Bancassurance Department Structure & Hierarchy

E. Please provide the List of senior management executives of Bancassurance with Names , Designations and E Mail id’s

F. Please provide District Wise list of number of branches in West Bengal as on September 30, 2015

S No. District in West Bengal No. of Branches/ Offices

1 Uttar Dinajpur

2 Dakshin Dinajpur

3 Malda

4 Murshidabad

5 Nadia

6 North 24 Paraganas

7 South 24 Paraganas

8 Bankura

9 Paschim Medinipur

10 Purba Medinipur

11 Purulia

FORM 3

Details of the products offered and Approved Commission rates

Name of the Product Maximum Commission approved by

IRDA Maximum Commission offered to the Bank *

* Within the permissible IRDA regulations and permission.

FORM 4

Key Observations in last 3 years

Item Details

IRDA Penalties/ warnings etc

Others

FORM 5

INDIVIDUAL CLAIMS OF GENERAL INSURERS (NUMBER OF POLICIES)

Particulars 2012-13 2013-14 2014-15

Claims pending at start of year (A)

Claims intimated / booked (B)

Total Claims (C=A+B)

Claims paid (D)

Claims repudiated (E)

Claims pending at end of year (G=C-D-E)

FORM 6

Commentary on key challenges being faced / anticipated by the insurance company in the Indian market and their possible resolutions.

FORM – 7

Please provide information as sought below about the business done by the organization

A. Channel wise Business break up

PARTICULARS NOP’s Issued Gross Premium

2012-13 2013-14 2014-15 2012-13 2013-14 2014-15

Individual Agents

Corporate Agents-Banks

Corporate Agents-Others

Brokers

Direct Selling

Others

TOTAL

B. Bancassurance Experience ( - Figures in INR Cr

S No. Name of Bank Date of Commencement of Business (mm/yy)

Gross Premium

2012-13 2013-14 2014-15

1

2

C. Business & Revenue Projection for next 3 Years for BGVB. You may assume a 2% increase in number of branches every year

Year 1 Year 2 Year 3

Premium Per Annum

Revenue to the Bank

D. Business Strategy & Road Map

Please elaborate on various kinds of support that will be provided to the bank with relevant details & strategy keeping in mind the nature of business, profile of customers and geographical spread of branches.

SNo. Support Item Strategy / Road Map

1 Manpower Support

2 Training Support

3 Marketing Support

4 Operational Support

5 Claims & Service Support

6 Technology Support

7 Any Other Support (Pls specify)

FORM 8

PRODUCT CUSTOMIZATION

Is the insurer open to customizing products based on the bank’s requirements (for individual or group products). Please give any example of product customization in any of the existing relationships

Place: SIGNATURE OF THE APPLICANT

Date: NAME & DESIGNATION SEAL OF ORGANISATION