Allianz SE is in talks with Mukesh Ambani-led Jio Financial Services (JFSL) to enter the Indian life and general insurance market again according to reports. Earlier Allianz announced the end of its 24-year joint venture with Bajaj Group. German financial services giant Allianz will sell its 26% stake in Bajaj Allianz General Insurance Company and Bajaj Allianz Life Insurance Company to its Indian partner for $2.8 billion. The amount may be paid in several installments. Talks between Allianz and officials of Reliance Industries which owns Jio Financial have been going on for several months ET reported. The talks intensified when it became public last October that Allianz was actively considering selling its stake. The talks have intensified in recent weeks. The Munich-based German group (Allianz) is clear that it wants at least a 50% stake in any new venture and may be open to a higher stake. It also wants a more significant role in management and operations. According to sources close to the matter the Bajaj Group was not very keen on reducing its stake which led to differences over the direction of their partnership. 100% foreign direct investment (FDI) is permitted in the insurance sector in India. The Allianz-Jio venture will be formally announced once approvals are received from regulators such as the Competition Commission of India and the Insurance Regulatory and Development Authority of India (IRDAI). Allianz will first have to remove itself as a promoter. The German group considers India one of its growth markets and will seek new opportunities that strengthen its position in the market and expand its ability to serve as an investor as well as an operator. As funds become available Allianz will consider options for their use that support the companys strategic ambitions in particular investing in new opportunities in India. RIL Chairman Mukesh Ambani had outlined JFSLs plans at the 2023 AGM. He had said that JFSL would enter the insurance sector and offer simple but smart life general and health insurance products possibly in partnership with global players. JFSL currently has an insurance broking business. They have expanded their direct-to-consumer portfolio from 24 to 54 plans. These plans are available across categories such as auto health and life. JFSL is also strengthening its institutional platform which includes group term life medical personal accident and commercial insurance. Allianz a large foreign institutional investor Allianz is a major foreign institutional investor in Indian equities debt and infrastructure. It has also increased FDI in India. In alternative investments alone they have invested about $1.5 billion. Their partners include companies like Kotak Mahindra Edelweiss and Godrej Group. Allianz has six cross-border reinsurance licences and is also the first foreign reinsurer in GIFT City. According to industry sources the German company is keen to partner with a large and influential group and Reliance is an obvious choice.