CUNA Mutual Group announced last week in this press release that it intends to acquire the preneed funeral business of global conglomerate Assurant. We told you late last year, in this article, that Assurant was expected to move on from the preneed business as it concentrated on other business elements.
The reported purchase price by CUNA Mutual Group is $1.3 billion.
According to the linked press release, “CUNA Mutual Group, a broad financial services provider, announced it has entered into a definitive agreement to acquire Assurant’s prearranged funeral insurance and final expense business in the U.S. and Canada, serving more than 2 million consumers – for approximately $1.3 billion.”
The release goes on to state, “this investment will enhance CUNA Mutual Group’s ability to help ensure middle market consumers have access to solutions that help build financial stability.”
To our knowledge at Funeral Director Daily, CUNA Mutual Group is not at the present time involved in the preneed funeral business. Here is their website where you can learn more about them.
Robert N. Trunzo, President and CEO of CUNA Mutual Group said this in the release, “This acquisition allows us to expand the ways we reach middle market consumers, helping more people make financial decisions that work for them and their situation. We will continue to build, buy and create partnerships to bring additional insurance, investment, and technology solutions into our portfolio to support our strategic priorities, protect even more consumers and augment our resources and financial strength.”
Again, according to the press release, Assurant at present has $6.5 billion of face value in force and relationships with many funeral homes in the United States and Canada. The release also says they have a “longstanding partnership with the largest funeral home provider in North America.”
Finally, the press release makes this comment about the on going business of the acquisition, “the preneed business will operate with autonomy at its Rapid City, South Dakota location with limited integration into CUNA Mutual Group’s other business lines or operations. Since preneed solutions are provided to consumers primarily through funeral homes, the company has no plans at this time to offer these services through financial institutions, such as credit unions and banks.”
The business transaction is expected to close in the 3rd Quarter of 2021.
- Madison’s CUNA Mutual Group to acquire Assurant’s pre-arranged funeral business for $1.3 billion. Milwaukee Journal Sentinel
- Assurant to divest Global Preneed for $1.3 billion cash. Nasdaq
- CUNA Mutual acquires funeral insurance business for $1.3 billion. Wisconsin State Journal
More news from the world of Death Care:
- Funeral director saw pandemic challenges from both sides. The Citizen’s Voice (PA)
- Irvine Veterans’ Cemetery remains in limbo while some push city council to move forward now. Voice of Orange County. (CA)
- Remarkable Women: Corey Chew. Video story and print article. KNWA Fox 24 (AR)
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- InvoCare’s advanced and robust Oracle ERP project nears completion. The Silicon Review Magazine (CA)
- Former director of Mississippi Veterans’ Cemetery charged with embezzlement. WREG News Channel 3 (TN)
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