Property and casualty insurer Intact Financial (IFC) has signed an agreement to acquire Canadian Direct Insurance (CDI), for around $197m.
CDI provides personal auto, home and travel insurance services in British Columbia and Alberta. It wrote around $140m in home and auto premiums in 2014.
Intact Financial service and distribution president Louis Gagnon said: "Growth and innovation are continuing priorities for IFC, which is why I am excited about bringing CDI into the IFC family.
"In recent years, the acquisitions of AXA Canada, Jevco and Metro General have helped us to build one of the broadest product and service offerings and facilitated increased support and innovation for our brokers and their customers."
The deal is said to expand IFC’s direct operations in Western Canada.
Subject to regulatory approvals and customary closing conditions, the transaction is expected to be completed in mid-2015.
According to Gagnon, the company is also planning to rebrand Grey Power to belairdirect to consolidate its brands, in conjunction with the acquisition.
Grey Power is currently providing insurance solutions to Canadians over the age of 50, in Alberta, Ontario, New Brunswick, Prince Edward Island and Nova Scotia.
belairdirect offers car and home insurance solutions to Canadians, and is the first property and casualty insurer to sell insurance products online, in North America.
Image: CDI provides personal auto, home and travel insurance services. Photo: courtesy of Stuart Miles/ FreeDigitalPhotos.net.