LifeShield National Insurance has reached an agreement to purchase IAC Group, the parent company of Individual Assurance Company (IAC), for an undisclosed sum.

Based in Oklahoma city, IAC operates as a life, accident, and health insurer and has a presence in the Medicare supplement market.

LifeShield president David Brooks said: “This is a unique opportunity for LifeShield to enhance its operational capabilities, and will enable both companies to become leading providers of products in the senior market.

“The transaction offers significant long-term value for LifeShield by adding new products and lower operating expenses. Combining the operations will enable both companies to execute in the individual, worksite, and association market space, including life, Medicare supplement, accident and health specialty lines, and reinsurance.”

IAC chairman and CEO Jim Harlin said:  “This is an attractive combination of Oklahoma domestic life and health insurers with highly complementary businesses and operations, and I’m thrilled with the platform for continued success that this transaction creates for our organizations.”

Once the deal is closed, the acquired entity will continue to operate under the IAC brand and as a subsidiary of LifeShield and headed by David Brooks.

Harlin will act as a consultant to IAC, advising on integration-related matters and other strategic opportunities.

As per the agreement, all staff of IAC will continue with the company after completion of the acquisition.

The transaction, which has been unanimously approved by the boards of LifeShield and IAC Group, is subject to customary closing conditions, including the receipt of required regulatory approvals.