Assurant's Q4 Earnings: A Strong Finish to 2024

Assurant, Inc. (NYSE: AIZ), a premier global protection company, reported strong financial results for the fourth quarter and full-year 2024, marking its second consecutive year of double-digit earnings and EPS growth. The company's robust performance was driven by continued outperformance in the Global Housing segment and underlying Connected Living growth within the Global Lifestyle segment. Assurant's momentum with clients, as evidenced by significant multi-year contract renewals and the addition of several new partnerships with industry leaders, further solidifies the company's position in the market.



Key Financial Highlights:

* GAAP net income increased 10% to $201.3 million compared to the fourth quarter of 2023, primarily due to higher Global Housing segment earnings, lower impact of foreign exchange, and lower restructuring costs. The increase was partially offset by higher reportable catastrophes, lower Global Lifestyle results, and higher net realized losses on investments.
* GAAP net income per diluted share increased 13% to $3.87, driven by the factors mentioned above.
* Adjusted EBITDA increased 6% to $381.4 million, primarily due to higher Global Housing segment earnings and lower restructuring costs. The increase was partially offset by lower Global Lifestyle results and higher reportable catastrophes.
* Adjusted EBITDA, excluding reportable catastrophes, increased 13% to $431.5 million, driven by strong performance in the Global Housing segment and improved loss experience.
* Adjusted earnings per diluted share increased 5% to $4.79, while adjusted earnings, excluding reportable catastrophes, per diluted share increased 13% to $5.54.



Segment Performance:

* Global Lifestyle segment adjusted EBITDA decreased 6% to $191.7 million, primarily due to lower underlying results and higher reportable catastrophes. However, the segment's underlying Connected Living business showed strong growth, driven by successful new program launches and expanded partnerships.
* Global Housing segment adjusted EBITDA increased 21% to $225.4 million, driven by policy growth and improved loss experience. The segment's strong performance contributed significantly to Assurant's overall earnings growth.

Outlook for 2025:

Assurant expects modest growth in Adjusted EBITDA and earnings per share, or high-single-digit growth excluding $107 million of favorable prior year development in 2024. The company remains focused on executing its growth strategy, scaling new partnerships, investing in product innovation, and accelerating emerging growth opportunities. As Assurant continues to elevate the customer experience, it believes it is well-positioned to maintain its track record of growth.

In conclusion, Assurant's strong Q4 earnings results, driven by the Global Housing segment's robust performance and underlying Connected Living growth within the Global Lifestyle segment, position the company well for continued growth in 2025 and beyond. By maintaining its focus on strategic partnerships, product innovation, and emerging growth opportunities, Assurant is poised to capitalize on market trends and maintain its competitive edge in the global protection market.