Goosehead to buy Vivint’s insurance agency ‘in the coming weeks’

Goosehead Insurance, an independent personal lines property and casualty insurance agency, is set to acquire Vivint Insurance within a few weeks, an executive told Insurance Business.

The two have announced a strategic partnership to innovate new home insurance products after Vivint, a smart home technology company, shifted its insurance strategy to a partnership model.

“We plan to acquire [Vivint Insurance’s] existing business book in the coming weeks, at which time Goosehead will begin serving existing business customers,” said Justin Ricketts, Goosehead’s executive vice president of technology and strategic partnerships.

Vivint Insurance customers can expect a ‘smooth’ transition

The association will be available to homeowners throughout the United States. Ricketts also confirmed that all Vivint Insurance customers would be able to keep their existing policies during the transition.

“There are no operators doing business with Vivint that are new to us,” the EVP said. “Goosehead also offers all of the carriers that Vivint currently offers, so the transition should be seamless from a customer perspective.”

Goosehead, headquartered in Westlake, Texas, represents more than 150 insurance companies that write personal lines and small commercial lines risks.

The fast-growing agency reported strong earnings in the fourth quarter of 2022, with revenue of $57.4 million (up 43% in the quarter) and net income of $2.76 million (up 195%). Total written premiums were 44% higher year-over-year to $585 million in the fourth quarter of 2022.

“In terms of transition, customers can expect to be very well served with our service department, and in terms of future insurance needs and renewals of their existing policies,” Ricketts said.

“They should expect a much broader range of options than they previously enjoyed.”

What’s next for Goosehead and Vivint’s insurance strategic partnership?

Goosehead aims to offer customers more personalized options to meet their unique needs and help them save on home insurance. Their partnership with Vivint enables the agency to offer smart home technology products to their clients and use the data to power their personalized offerings.

Meanwhile, Vivint customers looking for homeowners insurance will be able to use Goosehead’s digital agent platform to get quotes.

“One of the things that appealed to us the most was how natural this partnership is,” Ricketts said. “We are both in the business of protecting what is most important to our customers. We do it in different complementary ways.

“In terms of collaboration, initially, innovation will be in the ability to provide complementary products. It has the best in physical protection combined with the best in financial protection.”

As the partnership matures, Ricketts said Goosehead and Vivint will look to further expand their joint offerings and work with more carrier partners.

Goosehead customers with Vivint systems will also be able to access additional home insurance discounts and exclusive Vivint offers to help them further protect and secure their homes.

“By combining our industry-leading insurance model with Vivint’s cutting-edge smart home technology, we are able to offer a truly innovative solution that sets a new standard for the industry and meets the changing needs of today’s consumer,” said Ricketts.

How does Vivint plan to change its insurance strategy?

Vivint previously revealed to Insurance Business that it had closed its insurance agency following its sale to NRG Energy. A spokesman revealed that the company planned to change its insurance strategy to a partnership model.

The NRG Energy deal, completed in March, was for about $2.8 billion in cash and the assumption of $2.4 billion in debt (net of cash).

Prior to the sale, Vivint’s insurance director told Insurance Business that Vivint intended to become a managing general agent to leverage data from its existing clients for tailored home insurance solutions.

“When we entered the insurance space, we knew it would be a natural complement to our smart home offering and that, in the long term, our technology could be used to reduce customer claims and losses while improving the customer experience. of the customer,” said Rasesh Patel, president of Vivint, in a press release.

“By integrating our smart home technology with Goosehead’s insurance services, we can expand that vision and together provide an all-in-one solution that gives homeowners greater control over their homes and insurance policies.”

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