US insurer Kemper is set to acquire American Access Casualty, its related captive insurance agency Newins Insurance Agency Holdings, as well as its subsidiaries, in a cash transaction valued at $370 million.
The transaction is expected to close in the first quarter of 2021 and is subject to regulatory approval and other customary closing conditions.
AAC is headquartered in Illinois and provides specialty private passenger auto insurance, having written over $370 million of direct premiums in 2019 through a network of approximately 500 independent agents and over 110 captive agents.
“AAC is a great addition to Kemper’s specialty auto franchise and aligns with our strategic intent to serve growing niche markets with affordable and easy-to-use products,” said Duane Sanders, President of Kemper’s P&C Division.
“Their distribution capabilities, including strong customer and agent relationships, will expand our geographic footprint and when combined with our financial resources will create increased reach and incremental scale. We look forward to having AAC join the Kemper team.”