An ADT Security sign sits out in front of a home in Sandy Springs, Georgia Friday, May 11, 2007. Tyco bondholder American International Group Inc. this week sued the owner of ADT security systems in an effort to block it from buying back $6.6 billion of debt as part of a plan to split into three companies. Photographer: Chris Rank/ Bloomberg News. “ADT’s partnership with State Farm creates the capability to drive innovation in homeowners insurance on a broad scale. By delivering a truly connected home, together we can improve the customer experience and provide more peace of mind,” Jim DeVries, ADT president and CEO, said in a release. (Credit: CHRIS RANK/Bloomberg)

In an effort better leverage smart home technology in its homeowners insurance lines, State Farm is making a $1.2 billion equity investment in ADT, Inc. in exchange for 133.3 billion shares of ADT (priced at $9 per share). The deal, which is expected to close in 2022’s final quarter, will give State Farm approximately 15% ownership in ADT.

The multiline insurer reported the move will allow it to potentially lower policyholder costs, reduce claims and mitigate losses from water, fire and intrusion.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.


  • All news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including and

Already have an account?


© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Steve Hallo

Steve Hallo is managing editor of He can be reached at [email protected].  

More from this author



Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join now!

  • Unlimited access to - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including, and
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2024 ALM Global, LLC. All Rights Reserved.