Jack Henry & Associates Inc. has sold its insurance agency outsourcing business to the unit's management team and a private-equity group.

The Monnett, Mo., bank technology provider announced last week the buyout of Banc Insurance Services Inc., which has been renamed Insuritas Inc.

Jeffrey Chesky, its founder, has become the president and chief executive. Jack Henry bought the unit in 2004.

Kevin Williams, Jack Henry's chief financial officer, said in a press release, "Despite our best efforts, this business line did not generate the financial performance we expected … ; divesting this business line will generate a modest improvement in our margins and eliminate the negative impact it had on cash flow." The company's employees are expected to join the new venture.

Mr. Chesky said in the press release: "We believe our business can grow more rapidly operating as an independent company."