Liberty Mutual Group, a leading global property and casualty insurer with headquarters in the U.S. and 2009 revenues in excess of $31 Billion, and Videocon Industries Ltd., have announced their mutual intent to establish a Non-Life insurance joint venture company in India to provide personal and commercial insurance products through a range of distribution channels. The two companies intend to begin the licensing application process for the new company before the end of this year.
Under the proposed agreement, Liberty Mutual Group, through a subsidiary, will initially hold up to a 26 percent stake in the new company and Videocon Industries Ltd. will hold at least 74 percent. When allowed to do so under applicable Indian law, the Liberty Mutual Group subsidiary will have the option to raise its stake in the joint venture.
Upon approval by Indian regulators, the company will provide multi-line insurance underwriting capabilities to various distribution channels, with an emphasis on personal insurance products such as Motor, Health, Home and Personal Accident protection.
Source : Frontier India
