Royal & Sun Seeks Indian License

The U.K.’s Royal & Sun Alliance Plc joined the ranks of global insurers seeking admission to the Indian market when it filed its license application along with its Indian partner Sundaram Finance Ltd. to sell non-life product on the subcontinent.

Under new rules, which went into effect August 16th, foreign insurers can own up to a 26 percent equity interest in Indian insurance vehicles.

According to a report by Reuters news agency, RSA plans to invest up to 1 billion rupees (about $22 million) in the new venture, to be called Royal Sundaram Alliance, and to commence operations by the first quarter of 2001.