No, Ameriprise Financial and American Family Insurance are not the same company. They are distinct entities, although they do have a significant historical connection through a business acquisition.
The Relationship Explained
While Ameriprise Financial and American Family Insurance operate as separate corporations, their paths converged through a major transaction that involved one of Ameriprise's divisions:
Acquisition of Ameriprise Auto & Home
In April 2019, American Family Insurance acquired the Ameriprise Auto & Home division from Ameriprise Financial. This was a substantial cash deal, initially valued at approximately $1.05 billion. The final amount adjusted to about $950 million after a payment to an affinity partner.
This acquisition meant that:
- American Family Insurance took over the auto and home insurance policies and operations that were previously managed by Ameriprise.
- The insurance services acquired from Ameriprise were subsequently rebranded by American Family under the name Connect.
Separate Operations
Despite this acquisition, the parent companies remain independent organizations with different core business focuses:
- Ameriprise Financial, Inc. continues to operate as a leading diversified financial services company. Its primary business revolves around wealth management, asset management, and comprehensive financial planning services for individuals and institutions.
- American Family Insurance remains a prominent property and casualty insurance group, offering a wide range of insurance products including auto, home, life, and business insurance through its various brands and affiliates.
Therefore, while American Family Insurance now owns and manages the former Ameriprise Auto & Home insurance business, Ameriprise Financial and American Family Insurance are not the same company.
