Assurant's Q1 2025: Unpacking Contradictions on Connected Living Losses and Tariff Impacts

Connected Living loss experience and improvement, impact of tariffs on mobile business, connected living loss ratio stability, impact of tariffs on auto, and connected living loss ratio improvement, are the key contradictions discussed in Assurant's latest 2025Q1 earnings call.



Strong Financial Performance and Growth:
- Assurant reported 14% growth in adjusted EBITDA and 16% growth in adjusted earnings per share for Q1 2025, both excluding reportable catastrophes.
- This performance was driven by the company's diversified global operating model and market-leading businesses in global housing and global lifestyle, supported by a robust capital position.

Earnings and Loss Experience Improvement:
- In Global Automotive, earnings remained stable, supported by a year-over-year improvement in loss experience.
- The improvement was attributed to program changes, rate increases, and a unified branding approach, enhancing market leadership.

Homeowners Market Growth:
- Assurant's homeowners business experienced 17% top-line growth, primarily due to the addition of 70,000 lender placed policies.
- Growth in this segment was driven by increased demand for lender-placed insurance products amidst voluntary market shifts.

Investment and Partnership Strategy:
- The company invested $3 million in Q1 for new capabilities and client partnerships, such as a new program with Verizon's Total Wireless.
- These investments support new program launches and emerging growth opportunities, enhancing Assurant's market position and client relationships.