Roadsure is set to push into the SME sector to establish a £2m account by the end of 2006.
The broker will target tradesmen and shop accounts worth up to £5,000.
Groupama is one of the insurers working with the company.
Roadsure managing director Simon Jackson, who was previously a director of broker Budget, said: "We have created the unit off the back of our commercial combined product, with which we have had reasonable success."
Roadsure's commercial combined offering was piloted in Newbury, Bristol and Swindon at the end of 2005.
There are plans to roll out the pilot this year to optimise growth of the SME account.
"Cross selling helps to grow both areas of the business," said Jackson.
He added: "Broadening our range also helps us with making potential acquisitions, which we are still on the lookout for."
Last year Jackson told Insurance Times that Roadsure aimed to build a £100m business within five years and achieve a premium income of £25m within three years.
At the time he said: "We have a good cheque book for the right acquisitions. We are open-minded about who we would acquire, and could be tempted to take on a big broker worth up to £100m."
This week, Jackson said the company was still looking for suitable acquisitions.