Intersections Inc. today said it would acquire insurance marketer Chartered Marketing Services for a reported $50 million (€40 million) in cash. The company is majority-owned by private equity firms Spectrum Equity Investors and TA Associates, both of Boston.
The company, which had revenue of $51 million in 2005, will operate as a subsidiary of Chantilly, Virginia-based Intersections.
Located in Arlington Heights, Illinois, CMSI is a direct marketer of consumer-oriented insurance and membership products such as accidental death and membership programs for mortgage customers. It distributes its products primarily through large financial institutions but also distributes directly to individuals. It has marketing relationships with the top 10 mortgage servicers nationwide and recently began offering its products to demand deposit account and credit card account holders.
A spokesperson for TA Associates said the firm invested in CMSI in 1998 but could not reveal the size of the investment. The company was founded in 1981.