Zurich Financial Services is linking up with Bank of Scotland to provide banking and loan services to Zurich's UK customers.
The joint venture is due to start later this year and will offer bank accounts, personal loans, mortgages and credit cards under the Zurich brand.
BoS products will be distributed via Zurich's existing channels including the Allied Dunbar franchise network and Eagle Star Direct.
They will also be available on Zurich's personal finance portal to be launched online this summer.
Zurich hopes to benefit from BoS's retail banking experience and clearing systems.
Zurich Financial Services chief executive Sandy Leitch says: “It fits with our goal of reaching more customers and increasing our product range through strategic alliances. It is also a significant step towards the launch of our personal finance portal in the UK this summer.”