Marsh has reached a definitive agreement to acquire a majority stake in Semusa, a leading insurance broker and advisor in Panama and Marsh’s long-standing local correspondent broker, the company announced Wednesday.

Terms of the transaction were not disclosed.

According to a company statement, the transaction will strengthen Marsh’s leadership position in the Central America and Caribbean region and follows the acquisition of Franco & Acra Tecniseguros in the Dominican Republic last year. Operating under the name Marsh Semusa, the entity will combine the long-established operations of Semusa with the global footprint, solutions and placement capabilities of Marsh to provide an enhanced service to clients of all sizes in Panama.

Semusa is a leading insurance broker in Panama and has been Marsh’s local correspondent for 15 years. Samuel Urrutia, president of Semusa Group, will become chairman of the board of Marsh Semusa, reporting to Ricardo Brockmann, CEO of Marsh Latin America and Caribbean. Emanuel Abadia, currently CEO of Semusa, will become CEO of Marsh Semusa, reporting to Jose Vergara, head of Marsh Central America and the Caribbean.

The transaction is anticipated to close in the third quarter of 2014.