Norwalk, Conn. — Affinion Group, a provider of insurance programs, announced an acceleration of its plans to acquire insurance blocks. This initiative capitalizes on the company's previously successful efforts in insurance block acquisition, and the company has now committed dedicated resources responsible for identifying and evaluating potential insurance blocks for acquisition. The company also has pledged availability of the necessary capital to fund transactions that meet the company's criteria.
"In these challenging macroeconomic times, we consistently hear from clients who are seeking to eliminate non-core and runoff assets from their portfolios and gain stable sources of liquidity," says Ronald Clarke, SVP of insurance product management at Affinion. "With today's announcement, we are increasing our commitment to provide partners with additional options in managing their portfolios."
Seeking insurance blocks that are compatible with its existing core insurance business, the company's primary focus through this acquisition program is expected to be on guaranteed issue group insurance.
"We have identified our best opportunities to be guaranteed issue, group insurance blocks of accidental death and dismemberment, AD, hospital accident or indemnity plans, common carrier plans, among few others," says Dustin Manocha, VP of Affinion, and business leader for this acquisition program. "We have a broad interest in blocks of varying sizes, from those currently generating under a million in annual premium to upward of $500 million."
While the structure of each deal is expected to vary, depending on the negotiated terms of each opportunity and the seller's preference, Affinion has the flexibility to provide upfront capital or long-term annuity revenue streams, as appropriate.
Source: PR Newswire
Register or login for access to this item and much more
All Digital Insurance content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access