Toronto Dominion Bank has disposed its US insurance subsidiary to USI Insurance Services, a middle-market brokerage firm owned by Goldman Sachs Capital Partners, for an undisclosed amount.
The bank cum underwriter said that it sold the US underwriting to concentrate on domestic market with a single distribution model.
USI expects that the recent acquisition of TD Bank underwriting business will contribute $58.2m in revenues to its operations on an annual basis.
TD Insurance was offering personal and commercial insurance, as well as employee benefits products and services across the US.
USI chairman, president and CEO Mike Sicar said, "We will complement our mutual strengths for the benefit of clients, prospects and our great professionals, and together create a market leader with unique breadth and depth of resources."
The Canadian bank said that its insurance operation will not be affected and will continue to run as usual.
In Canada, the bank operates under a product distribution model which allows it to deal directly with the customer, where as its US operation engaged brokers to distribute the products.