Fidelity National Financial (FNF) announced that it is set to acquire BPG Holdings, the parent company of Buyers Protection Group, which provides home warranties and home inspection services.
Buyers Protection Group currently operates in 14 states including the top 25 housing markets. The company also owns the home warranty company, HISCO. HISCO was the first company to be granted a home protection license by the California Department of Insurance in 1973 at the inception of the home warranty industry has been providing home warranties since 1987 and home inspections since 1989, the company said.
Fidelity National’s home warranty business currently operates in California, Arizona, Nevada, Texas, Colorado, Washington, Oregon and Idaho. Since 2001, the company has grown from $5 million to $100 million in annual written premium.
"The combination of BPG and Fidelity National Home Warranty will make us the largest home warranty company in California, provide a meaningful increase to our market share in Texas and give us added scale in several other states," said Billy Jensen, Fidelity National Home Warranty president and CEO.
"Our combined home warranty business provides a great opportunity to continue with our nationwide expansion efforts and the home inspection services platform provides a substantial opportunity for further future growth at Fidelity National Home Warranty.
Financial terms of the deal were not disclosed. The closing of the transaction is subject regulatory approval, including the State of California Department of Insurance.