-
Assurant paid $157.5 million, according to the company's first-quarter earnings filed with the U.S. Securities and Exchange Commission.
-
AFAS provides automotive finance and insurance products and services, including vehicle service contracts, guaranteed asset protection insurance and more.
-
Assurant has been the primary provider of the vehicle service contracts and related auto products and services that AFAS sells.
New York-based Assurant Inc., which provides a variety of risk management products and services, recently acquired American Financial & Automotive Services Inc., which is based in The Woodlands.
Assurant paid $157.5 million, according to the company's first-quarter earnings filed with the U.S. Securities and Exchange Commission.
Read more: Dana Incorporated Announces New Leadership to Lead Electric Vehicle Systems Engineering
AFAS provides automotive finance and insurance products and services, including vehicle service contracts, guaranteed asset protection insurance and more. Its products are sold directly through a network of nearly 600 franchised dealership clients across 40 states, according to a press release.
With nearly 2 million vehicle service contracts in-force, AFAS will provide greater scale and operating efficiencies, and the ability to benefit from long-term favorable market trends that support increasing vehicle service contract attachment rates.
AFAS CEO and founder Arden Hetland and the AFAS management team joined Assurant. The local firm also brings more than 200 employees. Hetland will continue to manage the AFAS business, which retains its brand as American Financial & Automotive Services Inc., an Assurant company. Over a multiyear transition process, the AFAS business will operate as a separate direct-to-dealer channel under Assurant Global Automotive.
For more than 20 years, Assurant has been the primary provider of the vehicle service contracts and related auto products and services that AFAS sells, per the release.
Following our acquisition of The Warranty Group, our agreement to acquire AFAS further underscores our confidence in the long-term growth potential of the global automotive market. Having Arden and his team join Assurant gives us the benefit of their years of experience and expertise, which we will count on as we continue to grow the business together.
- John Laudenslager, President of Assurant Global Automotive
About Assurant:
Assurant, Inc. is a global provider of risk management solutions, protecting where consumers live and the goods they buy. A Fortune 500 company, Assurant focuses on the housing and lifestyle markets, and is among the market leaders in mobile device protection and related services; extended service contracts; vehicle protection products; pre-funded funeral insurance; renters insurance; and lender-placed homeowners insurance. Assurant has a market presence in 21 countries, while its Assurant Foundation works to support and improve communities.
About American Financial & Automotive Services:
American Financial & Automotive Services, Inc. is a multi-faceted company that provides selling solutions to automotive and recreational dealerships across the country. Recognized as a leader in its industry, American Financial markets and administers a diverse portfolio of finance and insurance products that enables dealers to protect the investments of their retail customers. In addition, American Financial also offers personnel training to dealership employees to promote the highest degree of professionalism and ethical standards in the automotive industry.
Read more: Code Climate Raises $8.5m in Series B Funding to Expand Its Engineering Intelligence Platform