Melbourne-based insurance technology firm InsuranceConnect is negotiating its sale to a major cluster group.

It’s believed the company was originally in discussions with cluster group IBNA, but it’s now engaged in what are understood to be exclusive negotiations with another party – thought to be Steadfast.

InsuranceConnect CEO Andrew Bennett and Steadfast Executive Chairman Robert Kelly declined to comment when contacted by insuranceNEWS.com.au this morning.

The company was formed in 2004 to develop and sell insurance-based products. Its best-known product is BrokerCentral, a system offering a paperless flow of communications between brokers, clients and insurers.

Company literature says BrokerCentral can handle quotes, policies, claims and supporting documents.

Steadfast has spent at least $3 million so far developing its “virtual underwriter”, which was launched last year and handles professional indemnity and industrial special risks lines.

Mr Kelly has confirmed the group also plans to include basic business pack, public and product liability and motor fleet insurance on the system.