Acquisition provides additional scale and expertise within attractive heavy equipment service contracts and insurance markets
NEW YORK–(BUSINESS WIRE)–Assurant, Inc. (NYSE: AIZ), a leading global provider of lifestyle and housing solutions that support, protect and connect major consumer purchases, today announced the acquisition of EPG Insurance, Inc. (EPG) for $43 million in cash. EPG is a leading provider of service contracts and insurance sold through heavy equipment dealers and manufacturers.
EPG provides and administers service contract programs for products and services sold through its global network of OEMs and OEM-branded dealer partners. Since 2018, Assurant has been the primary underwriter of EPG’s protection products for customers renting, leasing and purchasing equipment in the construction, agriculture, forestry and trucking industries. EPG’s product offerings include extended service contracts, physical damage insurance, guaranteed asset protection, rental tracking, and loss damage waivers, and EPG has seen a 40 percent growth in policies since 2018 as the result of enhanced and refocused sales efforts.
“This acquisition provides us with a unique opportunity to expand our service contract offerings and continue to strengthen and grow our market-leading presence in the automotive service contract space, globally,” said John Laudenslager, president of Assurant Global Automotive. “We are excited to gain the valuable experience and expertise of the EPG management team and employees.”
Kathy McDonald, president of Assurant Global Specialty, added, “The acquisition of EPG also allows us to further expand our distribution from equipment finance companies to dealers nationwide. This, along with our plans to grow and enhance our capabilities in the commercial equipment segment, will enable us to add scale and develop innovative new product offerings.”
Along with CEO Dale Hendrix and President Gregg Morgan, the EPG team of approximately 60 employees headquartered in Memphis, TN will join Assurant, and the business will continue to operate as a separate heavy equipment channel within Assurant. “Joining Assurant provides EPG the compelling opportunity to elevate business growth to the next level,” said Hendrix. “Our two companies share a commitment to servicing clients and consumers, and we are excited to join the Assurant team.”
Assurant, Inc. (NYSE: AIZ) is a leading global provider of lifestyle and housing solutions that support, protect and connect major consumer purchases. Anticipating the evolving needs of consumers, Assurant partners with the world’s leading brands to develop innovative products and services and to deliver an enhanced customer experience. A Fortune 500 company with a presence in 21 countries, Assurant offers mobile device solutions; extended service contracts; vehicle protection services; pre-funded funeral insurance; renters insurance; lender-placed insurance products; and other specialty products. The Assurant Foundation strengthens communities by supporting charitable partners that help protect where people live and can thrive, connect with local resources, inspire inclusion and prepare leaders of the future.
About EPG Insurance, Inc.
EPG Insurance, Inc. is the leading provider of insurance products and service contracts for the heavy equipment and trucking industries, with representatives across the United States. The company was formed in 1987 to meet the insurance needs of heavy equipment dealers beginning in the Southeast and now specializes in physical damage insurance for commercial auto and commercial equipment, service contracts for commercial equipment, and loss damage waivers for commercial equipment.
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Some of the statements included in this news release, including those with respect to the benefits from the transaction, may constitute forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained in this news release are based upon the company’s historical performance and on current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by the company or any other person that the company’s future plans, estimates or expectations will be achieved. Actual results may differ materially from those projected in the forward-looking statements. The company undertakes no obligation to update or review any forward-looking statements included in this news release, whether as a result of new information, future events or other developments. For additional information on factors that could affect Assurant’s results, please refer to the risk factors identified in Assurant’s reports filed with the U.S. Securities and Exchange Commission, including the risk factors identified in Assurant’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.
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