Assurant Specialty Property, a business segment of Assurant, Inc. today announced an agreement to sell its general agency business and associated insurance carrier, American Reliable Insurance Company, to Global Indemnity Group, Inc., a subsidiary of Global Indemnity plc, for approximately $114 million in cash.Based in Scottsdale, Arizona, American Reliable Insurance Company was founded in 1952 and offers specialty personal lines and agricultural insurance through general and independent agents. The business recorded approximately $250 million of GAAP net earned premiums in 2013.
"Assurant Specialty Property is focused on accelerating our momentum within the mortgage and multifamily housing industries," said Gene Mergelmeyer, president and CEO of Assurant Specialty Property. "The sale of American Reliable Insurance Company allows us to better align our portfolio of businesses, increase resources allocated toward these markets and strengthen our core business."
Assurant Specialty Property will work closely with Global Indemnity, a specialty insurance and reinsurance provider, to ensure a smooth transition of the business and employees. The transaction is expected to close following regulatory approval and satisfaction of customary closing conditions.
"We appreciate the contributions our American Reliable Insurance Company employees have made throughout the years, and were pleased to find a buyer that will allow the business to continue to grow," Mergelmeyer added.
About Assurant Specialty Property
Assurant Specialty Property is a leading provider of insurance services in partnership with mortgage lenders, property managers, financial institutions, manufactured home sellers, auto finance companies and their customers. Services include insurance tracking and management and lender-placed homeowners insurance, property preservation services, and property and personal coverage such as renters and flood insurance. Assurant Specialty Property serves clients and customers in all 50 states.
Assurant Specialty Property is part of Assurant, a premier provider of specialized insurance products and related services in North America and select worldwide markets. Assurant, a Fortune 500 company and a member of the S&P 500, is traded on the New York Stock Exchange under the symbol AIZ. With approximately 17,500 employees, Assurant has approximately $30 billion in assets and $9 billion in annual revenue.