Increasingly one sees Banks offering banking services but also "insurance" services. The real question is "when do banking services end" and "when do insurance services start and end" ?
Are Banks just "agents" ? Are they "really just agents", but in a very priviliged position with their clients (for a loan, for example) ?
In fact, Insurance Companies cover losses, and on mamoth levels sometimes !!! They also have official agents who secure contracts on a commission basis. This is well known. Do Banks act in the same way as independent insurance agents ?
If Banks do not want to "lend" who can force them ? If Banks are prepared to lend, who controls the cost of the insurance cover ? The Banks ? Why ?
There was a time when Banking and Insurance activities were quite separate. If any Government wants to motivate private investment, Banks must be obliged to renounce their role as "insurance agents".
It is incredible that the Profession of Insurance Companies has not provoked an official review of their practices !!! Or has everyone, Bankers and Insurance Companies, a comfortable slice of the profits by doing nothing ?
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