New Delhi, March 15 State-owned life insurer LIC Corporation of India is likely to sign a bancassurance agreement with Punjab National Bank on Monday.

Bancassurance is the selling of insurance products by a bank. Such an agreement would pave the way for state-owned PNB to distribute LIC’s products through its 4,000-plus branch network across the country, industry sources said. Life insurers, including private insurers, are keen to enter into bancassurance agreements as they see it as a viable distribution model. The current economic slowdown has also strengthened the case for such alliances.