LIC Cards, a subsidiary of Life Insurance Corp. of India, in July plans to launch a co-branded credit card with Axis Bank Ltd. to help increase market share, a spokesperson from the card issuer tells PaymentsSource.
Life Insurance holds a 15% stake in Axis. Specific details about the card deal, such as any fees that might apply, have not yet been announced.
LIC Cards formed last year when Life Insurance partnered with Mangalore-based Corporation Bank to get into the card business (
However, the credit card business so far has failed to come close to that target, generating little interest among the 220 million policyholders it primarily targeted for an LIC Card, according to local media reports.
The spokesperson declined to comment on the number of cards issued thus far. However, the cobranding deal, which will involve issuance of platinum cards to the insurer’s high-income policyholders, could help to boost the card base, he added.
LIC Cards also issues Visa- and MasterCard-branded gold and platinum cards in collaboration with Corporation Bank.
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