Private equity firm Odyssey Investment Partners has teamed up with the management team at Strategic Insurance Agency Alliance (SIAA) to acquire the latter.

SIAA, an alliance of independent insurance agencies in the US, will continue business under its existing model.

Financial terms of the transaction were not made public.

Odyssey managing principal Jeff Moffett said: “We are excited to partner with Matt and his team to invest in and accelerate the growth of SIAA and the independent agent channel.

“Building on the decades of success Jim, Matt and the SIAA team have achieved, we share a common vision for the potential of SIAA and its alliance partners.”

As part of the deal, SIAA chairman and founder Jim Masiello will quit the business.

The company’s CEO Matt Masiello will remain and continue to spearhead the business with the remaining SIAA management team.

Matt Masiello stated: “This transaction sets the stage to take our business to the next level based on our proven model.

“We’ve had great success as the original and largest network of independent insurance agencies in the country, and now we will have the resources to move forward more decisively in M&A, technology and investing in other growth initiatives.”

Established in 1995, SIAA had $9.6bn of total in-force premium at the end of 2020. It signed 527 new member agencies in 2020, which is the second highest number in the firm’s history.

Various insurance businesses have received backing from private equity firms lately.

Earlier this month, specialist insurer ERS received $350m in new investment from private equity firms to support its expansion plans. The fundraising was led by Boston-based private equity firm Abry Partners.

Also this month, private equity firm Apollo Global Management agreed to buy the rest of its insurance affiliate Athene Holding it does not already own in an all-stock deal worth nearly $11bn.