KeyBank is working to sell its Key Insurance & Benefits Services Inc. to USI Insurance Services so it can focus more on banking.
“Through this sale, we are highlighting our focus on delivering core banking services across our footprint,” Key Community Bank Co-President E.J. Burke said in a statement. “We believe that Key Insurance & Benefits Services Inc. and USI represent complementary businesses without geographic overlap and a shared commitment to providing strong client service and product expertise.”
Buffalo, N.Y.-based Key Insurance has 350 employees working in eight offices in upstate New York, Pennsylvania and Connecticut. They’ll join USI’s more than 6,000 associates in over 150 offices, the headquarters of which is in Valhalla, New York. That could happen as early as the second quarter, but the deal is subject to regulatory approvals and other customary closing conditions.
Morgan Stanley & Co. LLC is KeyBank’s financial adviser for the transaction.
