Unitrin to Acquire Direct Response Corporation
Trinity Universal Insurance Company, a subsidiary of Unitrin, Inc., will acquire Direct Response Corp, in a cash transaction valued at approximately $220 million. The deal is expected to close in the fourth quarter of 2008.
Direct Response is based in Meriden, CT. The company sells personal automobile insurance directly to consumers under both the Response Insurance and Teachers Insurance Plan brand names. For the year ended December 31, 2007, Direct Response recorded direct written premiums of approximately $147 million.
“This acquisition underscores our commitment to grow our direct to consumer personal lines distribution channel,” said Unitrin CEO Donald G. Southwell.
Direct Response will continue to market its products under the Response Insurance and Teachers Insurance Plan brand names, and will be subsumed into Unitrin’s direct business unit. Unitrin provides insurance and automobile finance products and services for individuals, families and small businesses.
