Kemper announces exit from preferred home and auto business

Kemper announced that it is exiting the preferred home and auto insurance market, sold through its Kemper Personal Insurance brand, and will actively reduce the business immediately, with all policies being non-renewed or canceled in accordance with applicable state regulations.

The company’s preferred property and casualty business includes eight underwriting companies which comprise approximately $500 million of written premium. The company announced the preferred business was under strategic review in November 2022.

“The decision to exit the business was made after thoughtful evaluation of our options and considered the most effective and efficient way to support our stakeholders. It enables us to release capital and increase the resources available to support our core specialty auto and life businesses.” – Joseph P. Lacher, Jr., Kemper’s president, CEO and chairman.

Kemper previously announced an after-tax goodwill impairment charge of $45.5 million in connection with the strategic review of its preferred home and auto business. This announcement has no impact on the company’s specialty auto business, Kemper Auto, and its life business, Kemper Life.

The company also shared its Q2 results, ending the quarter with a net loss of $97.1 million.