EverQuote to Acquire Leading Healthcare Agency Crosspointe Insurance Advisors
EverQuote, Inc. (Nasdaq: EVER) has announced its acquisition of Crosspointe Insurance & Financial Services, a health insurance agency. This strategic move aims to enhance EverQuote's digital distribution platform for health insurance, capitalizing on a $130 billion market. The acquisition is expected to close by Q3 2020, with funding sourced from EverQuote's cash reserves. This partnership will bolster customer engagement and revenue diversification, aiming to improve the consumer experience in the health insurance sector.
- Acquisition broadens EverQuote's reach into the $130 billion health insurance market.
- Enhances the company's digital distribution platform and direct-to-consumer model.
- Expected revenue growth through improved customer engagement and diversified offerings.
- None.
CAMBRIDGE, Mass., Aug. 04, 2020 (GLOBE NEWSWIRE) -- EverQuote, Inc. (Nasdaq: EVER), a leading online insurance marketplace, today announced that it has signed a definitive agreement to acquire Crosspointe Insurance & Financial Services, LLC, a leading health insurance agency headquartered in Evansville, Indiana.
Crosspointe is a sales and decision support contact center that connects consumers to high-quality healthcare insurance in a customer-centric environment. Crosspointe will accelerate the extension of EverQuote’s digital distribution platform to a direct-to-consumer agency model within the health vertical. The acquisition, in conjunction with our organically-developed, direct-to-consumer agency initiatives, broadens EverQuote’s ability to access the
"Crosspointe’s agency expertise and carrier relationships, combined with EverQuote’s data-driven insurance marketplace platform, consumer volume, and distribution, will position us to deepen our customer engagement, further diversify and grow revenues, and capitalize on the expanding market opportunity in health insurance," said Seth Birnbaum, CEO of EverQuote. "I am pleased to welcome Josh, Drew and the entire Crosspointe team, who share our cultural roots in bootstrapping, heart, tenacity, and data-driven optimization. Their team is an ideal addition to EverQuote as we deepen our role in the distribution of insurance products while easing the effort and complexity for consumers to protect life’s most important assets — their family, property and future at an affordable price.”
With a decade of experience in the health insurance market, Crosspointe has grown its practice by developing best-in-class business processes to provide consumers with high-quality, personalized shopping experiences and leveraging its deep sector expertise to continually adapt its product offerings to a constantly changing healthcare environment. Health insurance, similar to other verticals, is going through a transformation from offline to online distribution. That transformation demands investment in AI and data-driven experiences that retain the care of a trusted agent while delivering the ease of purchase found with online and mobile platforms.
"EverQuote’s leading technology and strong reputation in the insurance market complements what we have built and grown at Crosspointe over the last decade,” said Josh Mushlock, Co-Founder of Crosspointe. “EverQuote shares our passion for driving innovation in the insurance industry by partnering with providers to deliver a better shopping experience to consumers.”
“Crosspointe is very excited about the opportunity to partner with EverQuote’s data and tech-centric culture to help bring our offerings to a broader range of consumers who are increasingly looking online for insurance,” continued Drew Shockley, Co-Founder of Crosspointe. “Together we are uniquely positioned to address the growing diversity of products in the individual and family health, Medicare, and ancillary health product categories, with consumers’ desire for thoughtful guidance in unified destination advisory and distribution platforms.”
The acquisition is expected to close by the end of the third quarter subject to customary closing conditions, and EverQuote intends to fund the acquisition through cash on its balance sheet. Please reference EverQuote’s Q2 2020 earnings release and conference call for more details regarding the transaction.
About EverQuote
EverQuote operates a leading online insurance marketplace, connecting consumers with insurance providers. The company's mission is to empower insurance shoppers to better protect life's most important assets—their family, property, and future. Our vision is to use data and technology to make insurance simpler, more affordable and personalized ultimately reducing cost and risk.
For more information, visit EverQuote.com and follow on Twitter @EverQuoteInsure.
About Crosspointe
Crosspointe is a sales and decision support contact center that connects consumers to the highest quality healthcare insurance in a customer-centric environment and serves the individual and family health, Medicare, and ancillary health product markets. The company’s mission is to make health coverage simple and clear for consumers.
Safe Harbor Statement
Any statements in this press release about future expectations, plans and prospects for EverQuote, Inc. (“EverQuote” or the “Company”), including statements about the expected consummation of the Company’s acquisition of Crosspointe, statements about future results of operations or the future financial position of the Company, including financial targets, business strategy, plans and objectives for future operations and other statements containing the words “anticipates,” “believes,” “expects,” “plans,” and similar expressions, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: (1) satisfaction of applicable closing conditions; (2) the Company’s ability to attract and retain consumers and insurance providers using the Company’s marketplace; (3) the Company’s ability to maintain or increase the amount providers spend per quote request; (4) the impact on the Company and the insurance industry of the COVID-19 pandemic; (5) the effectiveness of the Company’s growth strategies and its ability to effectively manage growth; (6) the Company’s ability to maintain and build its brand; (7) the Company’s reliance on its third-party service providers; (8) the Company’s ability to develop new and enhanced products and services to attract and retain consumers and insurance providers, and the Company’s ability to successfully monetize them; (9) the impact of competition in the Company’s industry and innovation by the Company’s competitors; (10) the Company’s expected use of proceeds from its initial public offering; (11) developments regarding the insurance industry and the transition to online marketing; and (12) other factors discussed in the “Risk Factors” section of the Company’s most recent Quarterly Report on Form 10-Q, which is on file with the Securities and Exchange Commission. In addition, the forward-looking statements included in this press release represent the Company’s views as of the date of this press release. The Company anticipates that subsequent events and developments will cause the Company’s views to change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this press release.
Investor Relations Contact:
Brinlea Johnson
The Blueshirt Group
212-331-8424
Brinlea@blueshirtgroup.com
FAQ
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