Assurant (AIZ 0.72%) may not be a household name, but it's a leading provider of niche insurance products. Its offerings include:
- Mobile device insurance
- Renter's insurance
- Credit life and disability insurance
- Credit card travel insurance
- Lender-placed homeowner insurance
- Flood insurance
- Extended warranty contracts for vehicles, home devices, and mobile devices
- Pre-need funeral insurance
Since its initial public offering (IPO) in 2004, Assurant has delivered market-smashing performance, with total returns of about 1,090% as of May 2025, compared to roughly 675% for the S&P 500 index during the same period. It's also been a faithful dividend payer since going public, with 20 consecutive annual dividend increases to its name.
IPO
Is it time to add Assurant to your investment portfolio? Read on to learn how to buy Assurant stock, whether the company is profitable, and the pros and cons of investing.
How to invest
How to buy Assurant stock
Whether you're buying stock in Assurant or any other publicly traded company, here are the four basic steps you need to follow:
- Open your brokerage app: Log in to your brokerage account where you handle your investments.
- Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
- Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
- Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
- Submit your order: Confirm the details and submit your buy order.
- Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.
Should I invest?
Should I invest in Assurant?
Rarely is a stock the right fit for every investor. Let's discuss some reasons you may want to invest in Assurant, as well as some reasons you might want to steer clear.
Consider investing in Assurant stock if:
- You believe Assurant can continue to deliver market-beating returns.
- You're seeking reliable dividend income.
- You think the company's niche offerings provide it with a decent economic moat.
- You believe the company has a well-diversified business that serves a variety of industries.
- You believe Assurant can continue to expand its mobile device offerings beyond the U.S. and Europe into emerging markets.
- You want to increase your exposure to insurance stocks in your portfolio.
You might want to avoid Assurant stock if:
- You're worried about the effects of inflation on the company's business model, as higher prices mean Assurant pays more for things such as replacing vehicle parts and mobile devices.
- You're concerned about the company's exposure to severe weather events through its products, like flood insurance and renter's insurance.
- You believe Assurant's business is too heavily concentrated in a handful of large clients.
- You're worried that a recession would adversely affect Assurant's business since customers avoid replacing vehicles or devices during tough economic times.
Profitability
Is Assurant profitable?
Yes, Assurant is profitable. The company reported generally accepted accounting principles (GAAP) net income from continuing operations of $760 million in fiscal 2024, marking its eighth consecutive year of profitability. Adjusted earnings per share were $20.35, an increase of almost 19% from 2023.
Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for the 12-month period that ended Dec. 31, 2024, dropped by 2% to $773 million from fiscal 2023. The decline was due to steeper-than-expected losses in its Global Automotive business, which provides extended vehicle warranties and GAP insurance. Elevated inflation, which translates to higher costs for vehicle replacement parts and labor, has been an ongoing challenge for the segment.
However, Assurant's Global Housing division, which provides several niche home insurance products -- like lender-placed insurance (policies that a mortgage servicer purchases on a homeowner's behalf if they don't obtain sufficient coverage), mobile home insurance, and renter's insurance -- was a standout in 2024. Excluding catastrophes, the segment generated more than $900 million in adjusted EBITDA. The Global Housing division renewed more than 10 major contracts and added Bank of America (BAC 2.45%) as a client.
Assurant's Connected Living division, which offers mobile device insurance and extended warranties for home devices and consumer electronics, grew its net premiums earned by almost 10% for the year. The division also renewed contracts with three of the five largest mobile carriers in the U.S. in fiscal 2024.
Dividends
Does Assurant pay a dividend?
Yes, Assurant has paid a quarterly dividend since 2004 and has increased its payout every year since. The company's most recent quarterly dividend was $0.80 per share. Based on its share price as of mid-May 2025, that works out to an annual yield of 1.62%. Assurant has delivered compound annual dividend growth of over 14% annually since it started paying dividends 20 years ago.
ETF options
ETFs with exposure to Assurant
If you are unsure whether you want to buy Assurant shares, you can still get exposure to the company through an exchange-traded fund (ETF). An ETF is a basket of stocks you can buy with a single purchase. You purchase ETF shares using a brokerage account, using the same process as you would when buying individual stocks. Some ETFs with Assurant exposure include:
- SPDR S&P Insurance ETF (NYSEMKT:KIE): The fund invests in 53 equally weighted insurance stocks in the U.S., with property and casualty insurers representing about half of the fund's holdings. The ETF has a 0.35% expense ratio, meaning you'd pay $3.50 in fees on a $1,000 investment.
- Invesco S&P 500 Equal Weight Financials ETF (RSPF 0.76%): The fund invests in the financial stocks in the S&P 500 index, equally weighting each of the 74 stocks included. Its expense ratio is 0.40%, so $4 of a $1,000 investment would go toward fees.
- iShares U.S. Insurance ETF (NYSEMKT:IAK): This fund invests in 54 insurance stocks and is most heavily concentrated in property and casualty insurance, followed by life and health insurance. Assurant accounts for 1.19% of the fund's value. Its expense ratio is 0.39%, translating to $3.90 in fees on a $1,000 investment.
Stock splits
Will Assurant stock split?
Assurant has never split its stock in its 21 years as a publicly traded company, and an upcoming stock split does not appear to be on the horizon.
Companies typically split their stocks to make shares seem more affordable, particularly to retail investors. In reality, though, it's more about perception since a stock split doesn't change the value of the company or an investor's holdings. Also, the rise of fractional shares has made it easy to invest in a company without having to buy a full share.
With Assurant shares trading for nearly $200 as of May 2025, it's possible that the company may consider splitting its shares someday. However, Assurant hasn't publicly discussed plans for a stock split.
Related investing topics
The bottom line on Assurant
Assurant has a solid history of market-beating returns, generating profits, and paying dividends to shareholders. The business is well diversified, providing insurance solutions across many industries.
However, it's important to understand the risks associated with investing in any individual company. Before you become an investor, make sure you understand Assurant's business model and risks, such as the potential impact of high inflation and catastrophic weather events.
FAQ
Investing in Assurant FAQ
Is Assurant a Fortune 500 company?
Yes, Assurant is a Fortune 500 company, which is a list of America's top-earning companies ranked by revenue. It ranked No. 365 on the 2024 Fortune 500 list, with 2023 revenue of $11.13 billion.
What industry is Assurant in?
Assurant is in the insurance and risk management industry. It provides a variety of niche non-life insurance products, including mobile device insurance, renters insurance, lender-placed home insurance, flood insurance, insurance for manufactured housing, vehicle warranties, and theft protection insurance.
Is Assurant a publicly traded company?
Yes, Assurant has been a publicly traded company since 2004 and trades on the New York Stock Exchange.
What is Assurant's stock ticker?
Assurant trades under the stock ticker AIZ on the New York Stock Exchange.
