Public sector lender Indian Overseas Bank announced that it has clinched a pact with Japan-based Universal Sompo General Insurance Company (USGICL) for distributing products of the non-life insurer.

While commenting on the pact, Mr. Omkar Nath Singh, Universal Sompo General Insurance Executive Chairman stated, "This venture is going to increase the penetration of insurance products among the bank's customers across the country."

According to the sources, USGICL has inked a similar pact with Allahabad Bank and would also clinch another one with Karnataka Bank in one or two months.

The sources further revealed that USGICL is a joint venture non-life insurance conglomerate having 19 per cent investment.