The Yankees and Russell Martin have agreed in principle to a deal, with the catcher needing to pass a physical before it becomes official.

The Yankees have yet to make an announcement because Martin’s injury history makes the physical more than a formality. Martin became a priority for the Yankees for several reasons: They see Martin as an above average starter who they could sign relatively cheaply; and the Yankees were concerned about top prospect Jesus Montero’s chemistry with a veteran staff and would rather sprinkle him in as a backup.

The Yankees also realized prospects take time to develop in the big leagues, as they saw with Bernie Williams, Robinson Cano and others. And with Cliff Lee signing with the Phillies, the Yankees can now afford to use Montero potentially as a trade chip for another starting pitcher.

The Martin signing also speaks to the lack of confidence the Yankees have in Jorge Posada behind the plate.

Martin, 27, hit .248 in 97 games last year for the Dodgers. Martin’s season was cut short when he tore a labrum in his hip (the same injury Alex Rodriguez had) in game against the Padres on Aug. 3.

The Red Sox also reportedly had interest in Martin.