Fundamentals snapshot
KMPR · NYQ · Financial Services · Insurance - Property & Casualty
Current price
$26.86
52-week range
$22.69 - $53.25
Market cap
$1.58B
One-glance verdict
We don't put a cash-flow fair value on banks and insurers. For these companies the reported 'cash flow' is really just money moving between loans, deposits and trades — not the leftover profit the owners could actually pocket — so the usual method would print a misleading number.
Balance sheet
Net debt $1.03B. Interest coverage shows how many times profit covers the interest bill.
What stands out
What this company does
Kemper is an insurance company that makes most of its money selling specialty car insurance, often to drivers who may find it hard to get standard plans. The company’s success depends on collecting enough money in customer payments, called premiums, to cover the costs of future accident claims while still making a profit. Kemper also sells other policies like life and health insurance to earn additional income.
Kemper's current form dates back to 1990 when it was started as Unitrin, Inc., a spin-off from a larger company called Teledyne. For many years, Unitrin operated in different areas of insurance and even consumer finance (making loans for things like cars). A key turning point was in 2002, when Unitrin bought the rights to use the well-known 'Kemper' name for its home and auto insurance lines. By 2011, the company fully embraced this identity, renaming itself Kemper Corporation and focusing more on its core insurance businesses. Through strategic acquisitions, like buying Infinity Property and Casualty Corporation in 2018, Kemper has strengthened its focus on specialized auto insurance.
Kemper is an insurance company that sells policies to individuals, families, and small businesses across the United States. Think of it as a company that provides a financial safety net for unexpected events. You pay them a regular fee, called a premium, and in exchange, they agree to cover certain costs if something bad happens, like a car accident or a house fire. They offer a range of products you might recognize, such as car insurance, homeowners insurance, and life insurance. Kemper primarily sells its policies through a network of independent agents and brokers, who are like local insurance experts that can help customers find the right coverage.
This is Kemper's largest and most important business segment, focused on providing insurance for property (like cars and homes) and against accidents. The 'specialty' part means they often focus on providing auto insurance to customers who might have a harder time getting coverage from other companies, sometimes called 'non-standard' auto insurance. This segment also covers commercial auto insurance for small businesses that use vehicles for work. Customers pay premiums for these policies, and this segment generates the majority of the company's revenue (the total money it brings in before expenses).
This part of the company provides insurance focused on people's lives and health. It sells individual life insurance policies, which pay a sum of money to a person's family or chosen beneficiary when they pass away. This segment also offers supplemental health and accident insurance, which provides extra cash to help with expenses if someone gets sick or injured. While not as large as the specialty insurance business, this segment provides a steady and complementary source of income for the company.
The company's main focus is on improving the profitability of its core specialty auto insurance business. This involves carefully setting prices for its insurance policies and managing the costs of claims (the money paid out when a customer has an accident). Management is also investing in technology to make the company more efficient and improve the customer experience, such as through better online tools and mobile apps. Another key priority is geographic diversification (expanding into new states) to reduce risk and find new areas for growth.
Price history
Earnings history
Click any quarter to read the call summary and what the numbers say.
Is it cheap or expensive?
For a bank or insurer, the "free cash flow" shown on its statements is mostly money flowing through loans, deposits and trades — not the leftover profit the owners could actually keep, which is what this kind of valuation needs. Running that through the usual method would spit out a meaningless number, so we leave the cash-flow fair value out here rather than show you something misleading.
Is it drowning in debt?
Net debt $1.0B. Interest coverage 5.2x.
Kemper Corporation's profit covers its interest bill about 5.2 times over. which is weaker than most peers shown here.
Total debt $1.39B Interest coverage 5.17x This is the baseline the peer rows are being compared against.
Total debt $962.13M Interest coverage 24.19x +367% vs KMPR Carries about 4.7x more debt cushion than KMPR.
Total debt $900.96M Interest coverage 12.95x +150% vs KMPR Carries about 2.5x more debt cushion than KMPR.
Total debt $844.00M Interest coverage 20.53x +297% vs KMPR Carries about 4.0x more debt cushion than KMPR.
Total debt $318.70M Interest coverage 95.43x +1,744% vs KMPR Carries about 18.4x more debt cushion than KMPR.
Total debt $224.54M Interest coverage 60.58x +1,071% vs KMPR Carries about 11.7x more debt cushion than KMPR.
What you should know
The numbers
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Valuation
Profitability
Health
Growth
Cash flow
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Metric explainer
Debt comparison
What you should know