Legal & General Group, a risk, savings and investment company, has signed a memorandum of understanding with Ahli United Bank to set up a new joint venture company, headquartered in the Kingdom of Bahrain.

The joint venture will initially offer a range of takaful life and health insurance products and pension plans to retail and corporate customers in the Gulf region. Takaful is a form of insurance designed to provide life and non-life benefits to customers in a way that is compatible with Islamic Shariah Law.

Legal & General said that the product distribution will be primarily through exclusive access to the Ahli United Bank Group’s branch network and other third party distribution arrangements.

The joint venture is subject to necessary regulatory and statutory approvals.