Sweden-based ICA Bank has announced plans to commence the operations of its new subsidiary ICA Försäkring (ICA Insurance) from 1 October this year.

Initially, ICA Insurance will provide property and casualty products to the private customers, including householders, homeowners and motor insurance.

ICA Insurance president Bo Lagergren said: "We want to reward loyal ICA customers, and this will show in our offering.

"One way of doing this is to offer a guaranteed, fixed premium for five years to customers who remain claims-free. We will be the only insurer in the market to do so."

Earlier, ICA Gruppen announced that ICA Bank secured permission from the Swedish Financial Supervisory Authority to carry out insurance business, allowing it to establish ICA Försäkring.

ICA Gruppen is a retail company that mainly carries out operations in food and health sector.

Its subsidiaries include ICA Sweden and Rimi Baltic that conduct grocery retail, ICA Real Estate that owns and manages properties, ICA Bank that offers financial services and Apotek Hjärtat that conducts pharmacy operations.