Three of Yorkshire's largest independent insurance brokers are to merge - creating a group with a combined purchasing power of £40 million.
Atkinson Smith Ltd of Doncaster, DE Ford Ltd of York and Rixon Matthews Appleyard of Hull are to combine their strengths into a new holding company.
They hope the company will rival other large regional brokers such as Smart & Cook, and Layton Blackham.
The group said that by reducing operational costs, the group will be able to focus on providing local expertise.
The individual brand names of the businesses will remain.
Managing Director of Atkinson Smith Ltd Jon Whiteley said: "To thrive and grow, we must be a highly effective organisation, in terms of the quality and cost of delivering our services.
"We expect the larger group, with its greater career opportunities, to be a leading employer, attracting and retaining the very best staff in the region. We also aim to be more efficient, continuing to share expertise to drive-down running costs.
"On all counts, the strategy of greater efficiencies and people development continues the path we were all, independently, treading. We are very excited about the future."
The three businesses will complete the formal merger later this year.
