AFAS provides auto finance and insurance products and services, including vehicle service contracts, guaranteed asset protection insurance and other ancillary products
Assurant acquires American Financial & Automotive Services. (Credit: Capri23auto from Pixabay.)
US-based risk management services provider Assurant has acquired American Financial & Automotive Services (AFAS) for an undisclosed amount.
AFAS is engaged in providing auto finance and insurance products and services, including vehicle service contracts, guaranteed asset protection insurance, and other ancillary products, through its network of around 600 franchised dealership clients.
AFAS CEO and founder Arden Hetland said: “Joining Assurant enables AFAS to benefit from the global expertise, scale and breadth of an industry leader.
“Having partnered with us for so many years, they clearly value our team’s depth of experience and high-touch relationship approach, which are key factors in our shared commitment to servicing clients and growing the business.”
AFAS business will operate as a separate channel under Assurant Global Automotive
Assurant has been providing vehicle service contracts and related auto products and services sold by AFAS, for more than two decades.
AFAS serves the auto third-party administrator distribution channel through its field force, dealer training programs, and technology platforms.
Under the transaction, AFAS CEO and founder Arden Hetland, along with the AFAS management team, will be moved to Assurant upon the closing.
Hetland will lead the AFAS business, which will retain its brand and operate as a separate direct-to-dealer channel under Assurant Global Automotive, throughout a multi-year transition process.
Assurant Global Automotive president John Laudenslager said: “Following our acquisition of The Warranty Group, our agreement to acquire AFAS further underscores our confidence in the long-term growth potential of the global automotive market.
“Having Arden and his team join Assurant gives us the benefit of their years of experience and expertise, which we will count on as we continue to grow the business together.”