In keeping with its plan to exit the health insurance and employee benefits industries and focus on mortgage and real estate services, Assurant Inc. has acquired American Title Inc. (ATI), which offers title and valuation services for home equity lenders.
American Title will operate as part of Assurant’s mortgage solutions business, which offers property preservation, appraisal and valuation services, Assurant says in a press release. Assurant paid about $45 million in cash, with a potential earnout based on future performance.
The acquisition means Assurant can now offer title services, settlement services and valuation for home equity loans, as well as conventional mortgages and refinancing.
“American Title is a strong fit with our focus on risk management in the housing market,” says Michael Campbell, president of Global Home at Assurant. “As a leader in home equity title and valuation, ATI adds another important dimension to the expansion of our capabilities across the home and mortgage value chain to more holistically serve our clients.”
American Title’s experienced team of approximately 400 professionals will maintain their current offices in Omaha, Neb., and Palm Bay, Fla.
Privately held American Title was founded in 1994. In 2004, the company was acquired by Bill Mackintosh, who led it until his death earlier this year. Co-owners Mike Mackintosh and Ashley Horgan will continue to lead the business as part of Assurant.
American Title has an annualized fee income of approximately $48 million, Assurant reports.