Dabur promoters to float general insurance company with Liberty Mutual
02 June 2008
New Delhi: Promoters of the Dabur Group, the Burman family plan to form a non-life insurance company with the Liberty Mutual Group to provide personal and commercial insurance products.
Liberty Mutualof will initially hold a 26-per cent stake in the proposed insurance joint venture through one of its fully owned subsidiaries company, while Dabur Group firm, Dabur GI Invest Corp, will hold the majority 74 per cent.
''With India's booming economy, our objective is to quickly become a top-tier insurer there as we have done in other countries around the globe,'' said Thomas C. Ramey, chairman and president of Liberty International. ''India offers us a deep pool of talented insurance professionals as well as strong and efficient distribution partners. Our new operations will be an important piece of our continuing growth globally.''
Liberty Mutual Group's International business, which has a presence in 24 countries, reported 2007 revenue of approximately $6.1 billion. Overall, the Liberty Mutual Group reported annual consolidated revenue of $25.9 billion for 2007.
''India's rapidly expanding middle class illustrated by GDP per capita growth of more than 50 per cent over the past 10 years means that ever more Indians will be buying insurance to protect their property and possessions,'' said Edmund F. Kelly, Liberty Mutual Group's chairman, president and chief executive officer. ''Entering India's insurance marketplace at this exciting time offers tremendous growth opportunity for our international operations while reinforcing our position among the leading global insurance companies.''
Liberty Mutual will begin the licensing application process for the new company before the end of the second quarter this year. Upon approval by Indian regulators, the new entity will operate under the name Dabur Liberty General Insurance Company. The company will provide multi-line insurance underwriting capabilities to various distribution channels, with an emphasis on personal insurance products such as car, home and personal accident protection.