Austbrokers Comsure will become AUB’s largest Queensland brokerage after an acquisition and three-way merger is completed.

As insuranceNEWS.com.au reported last week, AUB has bought Steadfast Network member Bestmark Insurance Brokers from Principal Ian Garbutt and will merge the firm with existing majority-owned businesses Comsure and Citycover.

Steve Hamill and Richard Rentoul from Comsure and Mark Sandow and Stewart Harker from Citycover will form a new management team, with Mr Garbutt taking the role of CEO.

“The newly acquired Bestmark Insurance Brokers significantly enhances the Austbrokers’ network and will form a core pillar of our strength in Queensland,” AUB CEO Mike Emmett said.

“The combined business will increase the scale and breadth of skills that our clients are looking for and will allow us to better service and grow in the Brisbane and broader Queensland markets.”

AUB says the Bestmark deal is a scrip-for-scrip merger and the combined businesses will manage up to 9000 clients and in excess of $50 million in premium.

Mr Garbutt has more than two decades’ experience in the insurance industry. Previously he was CGU’s Queensland state manager.

Comsure, which has a strong market position in the motor dealer sector, has offices in the Brisbane suburb of Spring Hill. Citycover is based in Fortitude Valley while Bestmark is located in Redbank Plains on the western outskirts of Brisbane.

The three-way merger is set to be take effect from July 1.