Definitions of distribution channels

Intermediary channels: indirect distribution channels utilised by insurance companies, including tied agents, and brokers:

" ■■ tied agents: intermediaries other than company employees, who are remunerated by commission and sell products from one provider. Intermediaries could sell from a company office, door-to-door or by other means, including the telephone;

-  ■■ brokers (or multi-tied agents): independent intermediaries selling products from

different providers from a company office, door-to-door or by other means, including the telephone.

Direct channels: direct distribution channels utilised by insurance companies other than bancassurers, including:

-  ■■ Company salesforce: salaried employees selling from company offices, door-to-door

or by other means, apart from over the telephone;

" ■■ telephone sales: sales realised by means of the telephone, but not including tele-brokers or other tele-intermediaries;

" ■■ direct mail: sales realised by means of direct mail;

-  ■■ other: sales realised through other direct channels, such as the Internet.

Bank channels: bank distribution networks including:

-  ■■ Bank branches of bancassurers: sales realised by means of the branch networks of banks, savings banks and building societies and utilised by bancassurers, namely, insurance companies in which the bank holds a majority stake (more than 50% of its capital);

■■ banks acting as intermediaries: banks acting on behalf of autonomous insurers or insurance companies in which the bank holds less than 50% of the capital, utilising various distribution channels, including the branch network;

■■ other bancassurance channels: all direct or indirect channels utilised by bancassurers other than branch networks.