Liberty Mutual Group, a US based property and casualty insurer, and India-based Videocon Industries, are planning to establish a non-life insurance joint venture company in India.

Under the proposed agreement, Liberty Mutual Group, through a subsidiary, will initially hold up to a 26% stake in the new company and Videocon Industries will hold at least 74%.

Liberty Mutual Group has the option to raise its stake in the joint venture under the Indian Law.

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, according to the Liberty Mutual.

Liberty Mutual Group president David Long said, the company has ambitious plans to develop a professional, service oriented general insurance business.

“With Videocon, we have a partner who shares our vision. Together, we will build a premiere company worthy of the Indian consumer’s trust and respect, Long said.