Assurant, Inc., will provide flood insurance coverage options for Nationwide's policyholders and agents following Nationwide's exit as a “Write Your Own” carrier in the National Flood Insurance Program (“NFIP”).
Assurant, an NFIP flood insurance provider, will acquire the opportunity to renew approximately 250,000 policies representing approximately $230 million in written premium under the NFIP, the federally-guaranteed program protecting millions of American properties. Terms of the transaction were not announced.
“This transaction supports our strategy to protect where customers live and what they buy,” said Gene Mergelmeyer, the president and chief executive officer of the specialty property business segment of Assurant. “We continue to build upon our leadership position in the flood insurance market, protecting thousands of properties, and we are proud to serve a new group of Nationwide agents and customers.
“We will work with Nationwide to ensure a seamless transition for policyholders and agents, and look forward to providing them with excellent service.”
Under the NFIP, WYO insurance providers issue policies and service claims, through which the federal government covers flood losses for participating property owners.
Assurant said in a statement that there will be no changes to existing Nationwide NFIP benefits or policies, which remain in effect through their renewal date. At renewal, Nationwide has arranged for existing NFIP policyholders to have the option to easily renew through Assurant. Nationwide agents will have the ability to offer NFIP policies through Assurant on an ongoing basis.
“As Nationwide shifts its focus to our core products over the long term, we're pleased to arrange alternative flood coverage options for our customers with Assurant,” said Sabrina Freiberg, the leader of Nationwide's brokerage solutions team. “Our goal is to make this a seamless transition for all parties involved.”
Learn more: www.assurant.com.
Victoria Spears
Victoria Prussen Spears is senior vice president of Meyerowitz Communications Inc., a law firm marketing communications consulting company. A graduate of Sarah Lawrence College and Brooklyn Law School, Ms. Spears was an attorney at a leading New York City law firm before joining Meyerowitz Communications. She may be contacted at [email protected].