Allstate Advances Strategic Priorities
The Allstate Corporation (NYSE: ALL) reported Q4 2021 results, showing consolidated revenues of $13.0 billion, up 18.7% year-over-year, and full-year revenues of $50.6 billion, a 20.7% increase. However, net income applicable to common shareholders dropped 69.6% to $790 million, primarily due to lower underwriting income and increased catastrophe losses. Despite this, policies in force rose by 9.8% to nearly 191 million. Allstate's strategy includes raising auto insurance premiums by 2.9% to offset rising claim costs due to inflation, while also focusing on cost reductions and market share growth.
- Consolidated revenues increased by 18.7% year-over-year in Q4 2021.
- Policies in force grew by 9.8% in 2021, totaling nearly 191 million.
- Acquisition of National General expanded auto insurance market share and created growth platforms.
- Net income applicable to common shareholders decreased by 69.6% in Q4 2021.
- Underwriting income fell by 92.1% year-over-year in Q4 2021.
- Recorded combined ratio increased to 98.9 in Q4 2021, reflecting higher non-catastrophe losses.
Simultaneously addressing loss cost inflation
The Allstate Corporation Consolidated Highlights |
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|||||||||||||||||
($ in millions, except per share data and ratios) |
2021 |
|
2020 |
|
% / pts
|
|
2021 |
|
2020 |
|
% / pts
|
|||||||||
Consolidated revenues |
$ |
13,011 |
$ |
10,962 |
18.7 |
% |
|
$ |
50,588 |
|
$ |
41,909 |
|
20.7 |
% |
|||||
Net income applicable to common shareholders |
|
790 |
|
2,598 |
(69.6 |
) |
|
|
1,485 |
|
|
5,461 |
|
(72.8 |
) |
|||||
per diluted common share |
|
2.73 |
|
8.45 |
(67.7 |
) |
|
|
4.96 |
|
|
17.31 |
|
(71.3 |
) |
|||||
Adjusted net income* |
|
796 |
|
1,592 |
(50.0 |
) |
|
|
4,033 |
|
|
4,510 |
|
(10.6 |
) |
|||||
per diluted common share* |
|
2.75 |
|
5.18 |
(46.9 |
) |
|
|
13.48 |
|
|
14.29 |
|
(5.7 |
) |
|||||
Return on Allstate common shareholders’ equity (trailing twelve months) |
|
|
|
|
|
|||||||||||||||
Net income applicable to common shareholders |
|
|
|
|
|
5.8 |
% |
|
21.0 |
% |
(15.2 |
) |
||||||||
Adjusted net income* |
|
|
|
|
|
16.9 |
% |
|
19.2 |
% |
(2.3 |
) |
||||||||
Common shares outstanding (in millions) |
|
|
|
|
|
280.6 |
|
|
304.2 |
|
(7.8 |
) |
||||||||
Book value per common share |
|
|
|
|
|
81.52 |
|
|
91.50 |
|
(10.9 |
) |
||||||||
Property-Liability combined ratio |
|
|
|
|
|
|
|
|||||||||||||
Recorded |
|
98.9 |
|
84.0 |
14.9 |
|
|
|
95.9 |
|
|
87.6 |
|
8.3 |
|
|||||
Underlying combined ratio* |
|
91.3 |
|
79.1 |
12.2 |
|
|
|
86.2 |
|
|
79.4 |
|
6.8 |
|
|||||
Property-Liability insurance premiums earned |
|
10,390 |
|
8,884 |
17.0 |
|
|
|
40,454 |
|
|
35,580 |
|
13.7 |
|
|||||
Catastrophe losses |
|
528 |
|
424 |
24.5 |
|
|
|
3,339 |
|
|
2,811 |
|
18.8 |
|
|||||
Shelter-in-Place Payback expense |
|
— |
|
— |
— |
|
|
|
29 |
|
|
948 |
|
(96.9 |
) |
|||||
Total policies in force (in thousands) |
|
|
|
|
|
190,945 |
|
|
173,871 |
|
9.8 |
|
||||||||
* |
Measures used in this release that are not based on accounting principles generally accepted in |
“We made significant progress on strategic initiatives in 2021,” said
"These strategic actions position Allstate for sustainable growth while addressing the inflationary impact on auto insurance prices and returns,” continued Wilson. “Fourth quarter revenues were
Full Year 2021 Highlights
-
Allstate delivered on the 2021 Operating Priorities, which focus on both near-term performance and long-term value creation.
-
Better Serve Customers: Allstate made substantial progress in advancing Transformative Growth initiatives in 2021, including improving the competitive price position in auto insurance through continued cost reductions and pricing sophistication. Distribution was expanded with increased sales through Allstate’s direct channel and National General’s independent agent relationships.
-
Grow Customer Base: Consolidated policies in force grew to 190.9 million in 2021, a
9.8% increase compared to prior year. Property-Liability policies in force increased by13.7% , driven by expanded customer access from the acquisition of National General and Allstate brand growth. Protection Services policies in force grew to 148.4 million, an8.9% increase to the prior year, driven by continued expansion in Allstate Protection Plans.
-
Achieve Target Returns on Capital: Adjusted net income return on shareholders’ equity* was
16.9% in 2021, reflecting increased net investment income from strong performance-based results. The Property-Liability combined ratio of 95.9 for the full year increased compared to the prior year, primarily due to higher auto losses. Allstate is responding to higher severity through auto insurance rate increases, ongoing cost reductions and claims loss cost management.
-
Proactively Manage Investments: Net investment income of
$3.3 billion $1.7 billion $64.7 billion 4.4% in 2021, reflecting higher performance-based income and equity returns, partially offset by fixed income valuation declines.
- Build Long-Term Growth Platforms: Allstate completed the divestiture of the life and annuity businesses in the fourth quarter. National General is meeting or exceeding acquisition performance targets. Protection Services has increased revenues, particularly Protection Plans, Dealer Services and Identity Protection. Arity expanded its telematics and marketing services with LeadCloud, Transparent.ly and Arity IQ.
-
Better Serve Customers: Allstate made substantial progress in advancing Transformative Growth initiatives in 2021, including improving the competitive price position in auto insurance through continued cost reductions and pricing sophistication. Distribution was expanded with increased sales through Allstate’s direct channel and National General’s independent agent relationships.
Fourth Quarter 2021 Results
-
Total revenues of
$13.0 billion 18.7% compared to the prior year quarter, reflecting higher revenues from the National General acquisition and increased net investment income. Protection Services revenues also increased, reflecting growth at Allstate Protection Plans.
-
Net income applicable to common shareholders of
$790 million $1.8 billion
-
Adjusted net income* of
$796 million $2.75 $1.6 billion
Property-Liability Results |
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($ in millions, except ratios) |
2021 |
2020 |
% / pts
|
|
|
2021 |
2020 |
% / pts
|
|||||||||||||||
Premiums written |
$ |
10,301 |
|
$ |
8,609 |
19.7 |
% |
|
$ |
41,358 |
|
$ |
35,768 |
15.6 |
% |
||||||||
Allstate Brand |
|
8,884 |
|
|
8,382 |
6.0 |
|
|
|
35,668 |
|
|
34,796 |
2.5 |
|
||||||||
National General |
|
1,417 |
|
|
227 |
NM |
|
|
|
5,690 |
|
|
972 |
NM |
|
||||||||
|
|
|
|
|
|
|
|
||||||||||||||||
Underwriting income (loss) |
|
113 |
|
|
1,423 |
(92.1 |
) |
|
|
1,665 |
|
|
4,425 |
(62.4 |
) |
||||||||
Allstate Brand |
|
174 |
|
|
1,414 |
(87.7 |
) |
|
|
1,792 |
|
|
4,491 |
(60.1 |
) |
||||||||
National General |
|
(62 |
) |
|
12 |
NM |
|
|
|
(21 |
) |
|
75 |
(128.0 |
) |
||||||||
|
|
|
|
|
|
|
|
||||||||||||||||
Recorded combined ratio |
|
98.9 |
|
|
84.0 |
14.9 |
|
|
|
95.9 |
|
|
87.6 |
8.3 |
|
||||||||
Allstate Protection auto |
|
104.3 |
|
|
85.5 |
18.8 |
|
|
|
95.4 |
|
|
86.0 |
9.4 |
|
||||||||
Allstate Protection homeowners |
|
87.1 |
|
|
78.5 |
8.6 |
|
|
|
96.8 |
|
|
90.0 |
6.8 |
|
||||||||
|
|
|
|
|
|
|
|
||||||||||||||||
Underlying combined ratio* |
|
91.3 |
|
|
79.1 |
12.2 |
|
|
|
86.2 |
|
|
79.4 |
6.8 |
|
||||||||
Allstate Protection auto |
|
100.2 |
|
|
84.9 |
15.3 |
|
|
|
92.5 |
|
|
85.1 |
7.4 |
|
||||||||
Allstate Protection homeowners |
|
69.6 |
|
|
61.5 |
8.1 |
|
|
|
69.6 |
|
|
62.3 |
7.3 |
|
||||||||
NM = not meaningful |
-
Property-Liability written premium of
$10.3 billion 19.7% in the fourth quarter of 2021 compared to the prior year quarter, driven by the addition of National General and Allstate brand growth. The recorded combined ratio of 98.9 generated underwriting income of$113 million $1.4 billion
-
Decreased underwriting income was primarily driven by higher non-catastrophe losses in auto and homeowners insurance and increased non-catastrophe prior year reserve reestimates, partially offset by higher premiums earned. Prior year reserve strengthening of
$187 million
The underlying combined ratio* of 91.3 in the fourth quarter of 2021 was 12.2 points above the prior year quarter, reflecting higher auto and homeowners claims severity due to increased inflationary impacts and increased auto accident frequency.
-
The expense ratio increased by 0.3 points in the fourth quarter of 2021 compared to the prior year quarter as lower advertising expenses were offset by increased amortization of purchased intangibles from the National General acquisition and higher expenses related to guaranty fund assessments and premium taxes.
-
Allstate continues to focus on improving operational flexibility and competitive position through cost reductions. The full year 2021 adjusted expense ratio*, which includes underwriting and claims expenses, improved to 26.0, representing a 0.6-point decline to the prior year and 3.2-point reduction since 2018. The long-term objective is a further reduction of 3 points(1) over the next 3 years.
-
Allstate continues to focus on improving operational flexibility and competitive position through cost reductions. The full year 2021 adjusted expense ratio*, which includes underwriting and claims expenses, improved to 26.0, representing a 0.6-point decline to the prior year and 3.2-point reduction since 2018. The long-term objective is a further reduction of 3 points(1) over the next 3 years.
-
Allstate Protection auto insurance net written premium increased
16.6% and policies in force increased16.4% compared to the prior year quarter, driven by the acquisitions of National General and SafeAuto and Allstate brand growth. Allstate brand auto net written premiums increased by3.0% compared to the prior year quarter.
The recorded auto insurance combined ratio of 104.3 in the fourth quarter of 2021 was 18.8 points above the prior year quarter, and the underlying combined ratio* of 100.2 was 15.3 points above the prior year quarter, primarily due to an increase in the loss ratio. The auto loss ratio increase was driven by higher claim severity from rising inflationary impacts and increased accident frequency as miles driven rebound toward pre-pandemic levels. The fourth quarter was also impacted by 2.1 points of adverse non-catastrophe prior year reserve reestimates and an additional 1.6 points for reserve strengthening for the first three quarters of 2021.
Rising loss costs reflect increased used car prices, higher parts and labor costs, medical inflation, and greater attorney representation. In response, Allstate is taking comprehensive action to improve profitability, including rate increases, reducing expenses and claims loss cost management actions.
-
Allstate Protection homeowners insurance net written premium grew
31.1% , and policies in force increased7.8% compared to the fourth quarter of 2020, due to the addition of National General and Allstate brand growth. Allstate brand net written premium increased13.8% compared to the prior year quarter, driven by policies in force growth of1.5% and an increase in average premiums of11.0% due to inflation in insured home valuations and implemented rate increases.
The recorded homeowners insurance combined ratio of 87.1 in the fourth quarter of 2021 increased 8.6 points above the prior year quarter, and the underlying combined ratio* of 69.6 increased 8.1 points compared to the fourth quarter of 2020. The increases were primarily driven by higher severity due to inflation in labor and material costs and the inclusion of National General’s results, partially offset by higher average premium.
-
Decreased underwriting income was primarily driven by higher non-catastrophe losses in auto and homeowners insurance and increased non-catastrophe prior year reserve reestimates, partially offset by higher premiums earned. Prior year reserve strengthening of
(1) |
A reconciliation of non-GAAP measure to the expense ratio, a GAAP measure, is not possible on a forward-looking basis because it is not possible to provide a reliable forecast of future expenses and targeted reductions as of the reporting date. |
Protection Services Results |
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($ in millions) |
2021 |
2020 |
% / $
|
|
2021 |
2020 |
% / $
|
||||||||||||||||
Total revenues (1) |
$ |
606 |
|
$ |
497 |
|
|
21.9 |
% |
|
$ |
2,336 |
|
$ |
1,892 |
|
|
23.5 |
% |
||||
Allstate Protection Plans |
|
314 |
|
|
263 |
|
|
19.4 |
|
|
|
1,195 |
|
|
965 |
|
|
23.8 |
|
||||
Allstate Dealer Services |
|
135 |
|
|
121 |
|
|
11.6 |
|
|
|
517 |
|
|
477 |
|
|
8.4 |
|
||||
Allstate Roadside |
|
61 |
|
|
58 |
|
|
5.2 |
|
|
|
244 |
|
|
230 |
|
|
6.1 |
|
||||
Arity |
|
62 |
|
|
26 |
|
|
138.5 |
|
|
|
252 |
|
|
107 |
|
|
135.5 |
|
||||
Allstate Identity Protection |
|
34 |
|
|
29 |
|
|
17.2 |
|
|
|
128 |
|
|
113 |
|
|
13.3 |
|
||||
Adjusted net income (loss) |
$ |
29 |
|
$ |
38 |
|
$ |
(9 |
) |
|
$ |
179 |
|
$ |
153 |
|
$ |
26 |
|
||||
Allstate Protection Plans |
|
23 |
|
|
32 |
|
|
(9 |
) |
|
|
142 |
|
|
137 |
|
|
5 |
|
||||
Allstate Dealer Services |
|
9 |
|
|
7 |
|
|
2 |
|
|
|
34 |
|
|
29 |
|
|
5 |
|
||||
Allstate Roadside |
|
— |
|
|
4 |
|
|
(4 |
) |
|
|
7 |
|
|
12 |
|
|
(5 |
) |
||||
Arity |
|
(1 |
) |
|
(2 |
) |
|
1 |
|
|
|
3 |
|
|
(11 |
) |
|
14 |
|
||||
Allstate Identity Protection |
|
(2 |
) |
|
(3 |
) |
|
1 |
|
|
|
(7 |
) |
|
(14 |
) |
|
7 |
|
||||
(1) Excludes net gains and losses on investments and derivatives |
-
Protection Services revenues increased to
$606 million 21.9% higher than the prior year quarter, and written premium of$716 million 28.1% , primarily driven by Allstate Protection Plans growth. Adjusted net income of$29 million $9 million
-
Allstate Protection Plans revenue of
$314 million $51 million 19.4% , compared to the prior year quarter, reflecting increased policies in force. Written premium of$519 million 34.8% compared to the prior year quarter, driven by the launch with the Home Depot in the first quarter. Full year written premium of$1.8 billion 49.1% higher than the prior year and will be earned over the policy period of one to five years, generating future revenue growth. Adjusted net income of$23 million $9 million
-
Allstate Dealer Services revenue of
$135 million 11.6% higher than the fourth quarter of 2020, driven by increased sales and the impact of lower volumes in the fourth quarter of 2020 from impacts of the pandemic. Adjusted net income of$9 million $2 million
-
Allstate Roadside revenue of
$61 million 5.2% compared to the prior year quarter, as rescue volumes increased compared to the fourth quarter of 2020, which was impacted by the pandemic. Adjusted net income in the fourth quarter of 2021 declined by$4 million
-
Arity revenue of 62 million increased
$36 million $1 million
-
Allstate Identity Protection revenue of
$34 million 17.2% compared to the prior year quarter, and policies in force increased by3.8% to 2.8 million. Adjusted net loss of$2 million
-
Allstate Protection Plans revenue of
|
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|
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($ in millions) |
2021 |
2020 |
% Change |
|
2021 |
2020 |
% Change |
|||||||
Premiums and contract charges |
|
|
75.2 % |
|
|
|
66.5 % |
|||||||
Employer voluntary benefits |
262 |
262 |
— |
|
1,031 |
1,094 |
(5.8) |
|||||||
Group health |
90 |
— |
NM |
|
350 |
— |
NM |
|||||||
Individual health |
107 |
— |
NM |
|
440 |
— |
NM |
|||||||
Adjusted net income |
48 |
34 |
41.2 |
|
208 |
96 |
116.7 |
|||||||
-
Allstate Health and Benefits premiums and contract charges increased75.2% compared to the prior year quarter, primarily due to the addition of group and individual health businesses acquired with National General. The acquisition also generated other revenue of$111 million $359 million $48 million $14 million
Allstate Investment Results |
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|
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($ in millions, except ratios) |
2021 |
2020 |
$ / pts
|
|
2021 |
2020 |
$ / pts
|
||||||||||||
Net investment income |
$ |
847 |
|
$ |
660 |
|
$ |
187 |
|
|
$ |
3,293 |
|
$ |
1,590 |
|
$ |
1,703 |
|
Market-based investment income (1) |
|
363 |
|
|
370 |
|
|
(7 |
) |
|
|
1,424 |
|
|
1,440 |
|
|
(16 |
) |
Performance-based investment income (1) |
|
516 |
|
|
314 |
|
|
202 |
|
|
|
1,980 |
|
|
247 |
|
|
1,733 |
|
Net gains on investments and derivatives |
|
266 |
|
|
490 |
|
|
(224 |
) |
|
|
1,084 |
|
|
1,087 |
|
|
(3 |
) |
Change in unrealized net capital gains and losses, pre-tax |
|
(419 |
) |
|
409 |
|
|
NM |
|
|
|
(1,771 |
) |
|
1,311 |
|
|
NM |
|
Total return on investment portfolio |
|
1.1 |
% |
|
2.7 |
% |
|
(1.6 |
) |
|
|
4.4 |
% |
|
7.2 |
% |
|
(2.8 |
) |
(1) |
Investment expenses are not allocated between market-based and performance-based portfolios with the exception of investee level expenses. |
-
Allstate Investments
$64.7 billion $847 million $187 million
-
Market-based investment income was
$363 million $7 million 1.9% , compared to the prior year quarter as the impact of lower reinvestment rates was largely mitigated by higher average assets under management and prepayment fee income.
-
Performance-based investment income totaled
$516 million $202 million 50% of performance-based income was generated by 10 individual investments in the quarter, and over a 3-, 5- and 10-year time horizon performance-based annual returns have ranged between12.9% and14.0% .
-
Net gains on investments and derivatives were
$266 million $490 million
-
Unrealized net capital gains decreased
$419 million
-
Total return on the investment portfolio was
1.1% for the quarter and4.4% in 2021.
-
Ongoing proactive management of the investment portfolio risk and return profile included shortening the fixed income duration from 5.0 to 4.2 years in 2021, primarily during the fourth quarter to reduce exposure to an inflation-driven increase in interest rates.
-
Market-based investment income was
-
Discontinued Operations generated a loss of
$321 million Allstate Life Insurance Company andAllstate Life Insurance Company of New York in the quarter. The total loss on disposition was$4.1 billion $4.0 billion
“Allstate’s earnings power and proactive capital management support reinvestment in growth and provided excellent cash returns to shareholders,” said
Visit www.allstateinvestors.com for additional information about Allstate’s results, including a webcast of its quarterly conference call and the call presentation. The conference call will be at
Forward-Looking Statements
This news release contains “forward-looking statements” that anticipate results based on our estimates, assumptions and plans that are subject to uncertainty. These statements are made subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements do not relate strictly to historical or current facts and may be identified by their use of words like “plans,” “seeks,” “expects,” “will,” “should,” “anticipates,” “estimates,” “intends,” “believes,” “likely,” “targets” and other words with similar meanings. We believe these statements are based on reasonable estimates, assumptions and plans. However, if the estimates, assumptions or plans underlying the forward-looking statements prove inaccurate or if other risks or uncertainties arise, actual results could differ materially from those communicated in these forward-looking statements. Factors that could cause actual results to differ materially from those expressed in, or implied by, the forward-looking statements may be found in our filings with the
THE ALLSTATE CORPORATION AND SUBSIDIARIES |
|||||||
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION |
|||||||
|
|
|
|
||||
($ in millions, except par value data)
|
|
|
|
||||
Assets |
|
|
|
||||
Investments |
|
|
|
||||
Fixed income securities, at fair value (amortized cost, net |
$ |
42,136 |
|
|
$ |
42,565 |
|
Equity securities, at fair value (cost |
|
7,061 |
|
|
|
3,168 |
|
Mortgage loans, net |
|
821 |
|
|
|
746 |
|
Limited partnership interests |
|
8,018 |
|
|
|
4,563 |
|
Short-term, at fair value (amortized cost |
|
4,009 |
|
|
|
6,807 |
|
Other, net |
|
2,656 |
|
|
|
1,691 |
|
Total investments |
|
64,701 |
|
|
|
59,540 |
|
Cash |
|
763 |
|
|
|
311 |
|
Premium installment receivables, net |
|
8,364 |
|
|
|
6,463 |
|
Deferred policy acquisition costs |
|
4,722 |
|
|
|
3,774 |
|
Reinsurance and indemnification recoverables, net |
|
10,024 |
|
|
|
7,215 |
|
Accrued investment income |
|
339 |
|
|
|
371 |
|
Property and equipment, net |
|
939 |
|
|
|
1,057 |
|
|
|
3,502 |
|
|
|
2,369 |
|
Other assets, net |
|
6,086 |
|
|
|
2,756 |
|
Assets held for sale |
|
— |
|
|
|
42,131 |
|
Total assets |
$ |
99,440 |
|
|
$ |
125,987 |
|
Liabilities |
|
|
|
||||
Reserve for property and casualty insurance claims and claims expense |
$ |
33,060 |
|
|
$ |
27,610 |
|
Reserve for future policy benefits |
|
1,273 |
|
|
|
1,028 |
|
Contractholder funds |
|
908 |
|
|
|
857 |
|
Unearned premiums |
|
19,844 |
|
|
|
15,946 |
|
Claim payments outstanding |
|
1,123 |
|
|
|
957 |
|
Deferred income taxes |
|
833 |
|
|
|
382 |
|
Other liabilities and accrued expenses |
|
9,296 |
|
|
|
7,840 |
|
Long-term debt |
|
7,976 |
|
|
|
7,825 |
|
Liabilities held for sale |
|
— |
|
|
|
33,325 |
|
Total liabilities |
|
74,313 |
|
|
|
95,770 |
|
Equity |
|
|
|
||||
Preferred stock and additional capital paid-in, |
|
1,970 |
|
|
|
1,970 |
|
Common stock, |
|
9 |
|
|
|
9 |
|
Additional capital paid-in |
|
3,722 |
|
|
|
3,498 |
|
Retained income |
|
53,294 |
|
|
|
52,767 |
|
|
|
(34,471 |
) |
|
|
(31,331 |
) |
Accumulated other comprehensive income: |
|
|
|
||||
Unrealized net capital gains and losses |
|
598 |
|
|
|
3,180 |
|
Unrealized foreign currency translation adjustments |
|
(15 |
) |
|
|
(7 |
) |
Unamortized pension and other postretirement prior service credit |
|
72 |
|
|
|
131 |
|
Total accumulated other comprehensive income |
|
655 |
|
|
|
3,304 |
|
Total Allstate shareholders’ equity |
|
25,179 |
|
|
|
30,217 |
|
Noncontrolling interest |
|
(52 |
) |
|
|
— |
|
Total equity |
|
25,127 |
|
|
|
30,217 |
|
Total liabilities and equity |
$ |
99,440 |
|
|
$ |
125,987 |
|
THE ALLSTATE CORPORATION AND SUBSIDIARIES |
|||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS |
|||||||||||||||
|
|
|
|
||||||||||||
($ in millions, except per share data) |
Three months ended
|
|
Twelve months ended
|
||||||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||||||
|
|
|
|
|
|
|
|
||||||||
Revenues |
|
|
|
|
|
|
|
||||||||
Property and casualty insurance premiums |
$ |
10,852 |
|
|
$ |
9,279 |
|
|
$ |
42,218 |
|
|
$ |
37,073 |
|
Accident and health insurance premiums and contract charges |
|
459 |
|
|
|
262 |
|
|
|
1,821 |
|
|
|
1,094 |
|
Other revenue |
|
587 |
|
|
|
271 |
|
|
|
2,172 |
|
|
|
1,065 |
|
Net investment income |
|
847 |
|
|
|
660 |
|
|
|
3,293 |
|
|
|
1,590 |
|
Net gains (losses) on investments and derivatives |
|
266 |
|
|
|
490 |
|
|
|
1,084 |
|
|
|
1,087 |
|
Total revenues |
|
13,011 |
|
|
|
10,962 |
|
|
|
50,588 |
|
|
|
41,909 |
|
|
|
|
|
|
|
|
|
||||||||
Costs and expenses |
|
|
|
|
|
|
|
||||||||
Property and casualty insurance claims and claims expense |
|
7,804 |
|
|
|
5,366 |
|
|
|
29,318 |
|
|
|
22,001 |
|
Shelter-in-Place Payback expense |
|
— |
|
|
|
— |
|
|
|
29 |
|
|
|
948 |
|
Accident and health insurance policy benefits |
|
269 |
|
|
|
124 |
|
|
|
1,015 |
|
|
|
516 |
|
Interest credited to contractholder funds |
|
9 |
|
|
|
7 |
|
|
|
34 |
|
|
|
33 |
|
Amortization of deferred policy acquisition costs |
|
1,602 |
|
|
|
1,382 |
|
|
|
6,252 |
|
|
|
5,477 |
|
Operating costs and expenses |
|
1,956 |
|
|
|
1,440 |
|
|
|
7,260 |
|
|
|
5,494 |
|
Pension and other postretirement remeasurement (gains) losses |
|
(240 |
) |
|
|
(371 |
) |
|
|
(644 |
) |
|
|
(51 |
) |
Restructuring and related charges |
|
25 |
|
|
|
40 |
|
|
|
170 |
|
|
|
253 |
|
Amortization of purchased intangibles |
|
109 |
|
|
|
30 |
|
|
|
376 |
|
|
|
118 |
|
Interest expense |
|
84 |
|
|
|
80 |
|
|
|
330 |
|
|
|
318 |
|
Total costs and expenses |
|
11,618 |
|
|
|
8,098 |
|
|
|
44,140 |
|
|
|
35,107 |
|
|
|
|
|
|
|
|
|
||||||||
Income from operations before income tax expense |
|
1,393 |
|
|
|
2,864 |
|
|
|
6,448 |
|
|
|
6,802 |
|
|
|
|
|
|
|
|
|
||||||||
Income tax expense |
|
281 |
|
|
|
594 |
|
|
|
1,289 |
|
|
|
1,373 |
|
|
|
|
|
|
|
|
|
||||||||
Net income from continuing operations |
|
1,112 |
|
|
|
2,270 |
|
|
|
5,159 |
|
|
|
5,429 |
|
|
|
|
|
|
|
|
|
||||||||
Income (loss) from discontinued operations, net of tax |
|
(321 |
) |
|
|
354 |
|
|
|
(3,593 |
) |
|
|
147 |
|
|
|
|
|
|
|
|
|
||||||||
Net income |
|
791 |
|
|
|
2,624 |
|
|
|
1,566 |
|
|
|
5,576 |
|
|
|
|
|
|
|
|
|
||||||||
Less: Net income attributable to noncontrolling interest |
|
(26 |
) |
|
|
— |
|
|
|
(33 |
) |
|
|
— |
|
|
|
|
|
|
|
|
|
||||||||
Net income attributable to Allstate |
|
817 |
|
|
|
2,624 |
|
|
|
1,599 |
|
|
|
5,576 |
|
|
|
|
|
|
|
|
|
||||||||
Less: Preferred stock dividends |
|
27 |
|
|
|
26 |
|
|
|
114 |
|
|
|
115 |
|
|
|
|
|
|
|
|
|
||||||||
Net income applicable to common shareholders |
$ |
790 |
|
|
$ |
2,598 |
|
|
$ |
1,485 |
|
|
$ |
5,461 |
|
|
|
|
|
|
|
|
|
||||||||
Earnings per common share applicable to common shareholders |
|
|
|
|
|
|
|
||||||||
Basic |
|
|
|
|
|
|
|
||||||||
Continuing operations |
$ |
3.90 |
|
|
$ |
7.38 |
|
|
$ |
17.23 |
|
|
$ |
17.06 |
|
Discontinued operations |
|
(1.13 |
) |
|
|
1.16 |
|
|
|
(12.19 |
) |
|
|
0.47 |
|
Total |
$ |
2.77 |
|
|
$ |
8.54 |
|
|
$ |
5.04 |
|
|
$ |
17.53 |
|
|
|
|
|
|
|
|
|
||||||||
Diluted |
|
|
|
|
|
|
|
||||||||
Continuing operations |
$ |
3.84 |
|
|
$ |
7.30 |
|
|
$ |
16.98 |
|
|
$ |
16.84 |
|
Discontinued operations |
|
(1.11 |
) |
|
|
1.15 |
|
|
|
(12.02 |
) |
|
|
0.47 |
|
Total |
$ |
2.73 |
|
|
$ |
8.45 |
|
|
$ |
4.96 |
|
|
$ |
17.31 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted average common shares – Basic |
|
285.0 |
|
|
|
304.3 |
|
|
|
294.8 |
|
|
|
311.6 |
|
Weighted average common shares – Diluted |
|
289.0 |
|
|
|
307.6 |
|
|
|
299.1 |
|
|
|
315.5 |
|
Definitions of Non-GAAP Measures
We believe that investors’ understanding of Allstate’s performance is enhanced by our disclosure of the following non-GAAP measures. Our methods for calculating these measures may differ from those used by other companies and therefore comparability may be limited.
Adjusted net income is net income (loss) applicable to common shareholders, excluding:
- Net gains and losses on investments and derivatives except for periodic settlements and accruals on non-hedge derivative instruments, which are reported with net gains and losses on investments and derivatives but included in adjusted net income
- Pension and other postretirement remeasurement gains and losses
- Business combination expenses and the amortization or impairment of purchased intangibles
- Income or loss from discontinued operations
- Adjustments for other significant non-recurring, infrequent or unusual items, when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years, or (b) there has been no similar charge or gain within the prior two years
- Related income tax expense or benefit of these items
Net income (loss) applicable to common shareholders is the GAAP measure that is most directly comparable to adjusted net income.
We use adjusted net income as an important measure to evaluate our results of operations. We believe that the measure provides investors with a valuable measure of the Company’s ongoing performance because it reveals trends in our insurance and financial services business that may be obscured by the net effect of net gains and losses on investments and derivatives, pension and other postretirement remeasurement gains and losses, business combination expenses and the amortization or impairment of purchased intangibles, income or loss from discontinued operations and adjustments for other significant non-recurring, infrequent or unusual items and the related tax expense or benefit of these items. Net gains and losses on investments and derivatives, and pension and other postretirement remeasurement gains and losses may vary significantly between periods and are generally driven by business decisions and external economic developments such as capital market conditions, the timing of which is unrelated to the insurance underwriting process. Business combination expenses and income or loss from discontinued operations are excluded because they are non-recurring in nature and the amortization or impairment of purchased intangibles is excluded because it relates to the acquisition purchase price and is not indicative of our underlying business results or trends. Non-recurring items are excluded because, by their nature, they are not indicative of our business or economic trends. Accordingly, adjusted net income excludes the effect of items that tend to be highly variable from period to period and highlights the results from ongoing operations and the underlying profitability of our business. A byproduct of excluding these items to determine adjusted net income is the transparency and understanding of their significance to net income variability and profitability while recognizing these or similar items may recur in subsequent periods. Adjusted net income is used by management along with the other components of net income (loss) applicable to common shareholders to assess our performance. We use adjusted measures of adjusted net income in incentive compensation. Therefore, we believe it is useful for investors to evaluate net income (loss) applicable to common shareholders, adjusted net income and their components separately and in the aggregate when reviewing and evaluating our performance. We note that investors, financial analysts, financial and business media organizations and rating agencies utilize adjusted net income results in their evaluation of our and our industry’s financial performance and in their investment decisions, recommendations and communications as it represents a reliable, representative and consistent measurement of the industry and the Company and management’s performance. We note that the price to earnings multiple commonly used by insurance investors as a forward-looking valuation technique uses adjusted net income as the denominator. Adjusted net income should not be considered a substitute for net income (loss) applicable to common shareholders and does not reflect the overall profitability of our business.
The following tables reconcile net income (loss) applicable to common shareholders and adjusted net income. Taxes on adjustments to reconcile net income (loss) applicable to common shareholders and adjusted net income generally use a
($ in millions, except per share data) |
Three months ended |
||||||||||||||
|
Consolidated |
|
Per diluted common share |
||||||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||||||
Net income (loss) applicable to common shareholders |
$ |
790 |
|
|
$ |
2,598 |
|
|
$ |
2.73 |
|
|
$ |
8.45 |
|
Net (gains) losses on investments and derivatives |
|
(266 |
) |
|
|
(490 |
) |
|
|
(0.92 |
) |
|
|
(1.59 |
) |
Pension and other postretirement remeasurement (gains) losses |
|
(240 |
) |
|
|
(371 |
) |
|
|
(0.83 |
) |
|
|
(1.21 |
) |
Curtailment (gains) losses |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Reclassification of periodic settlements and accruals on non-hedge derivative instruments |
|
(1 |
) |
|
|
(1 |
) |
|
|
— |
|
|
|
— |
|
Business combination expenses and the amortization of purchased intangibles |
|
109 |
|
|
|
30 |
|
|
|
0.38 |
|
|
|
0.10 |
|
Business combination fair value adjustment |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
(Income) loss from discontinued operations |
|
177 |
|
|
|
(446 |
) |
|
|
0.61 |
|
|
|
(1.45 |
) |
Income tax expense (benefit) |
|
227 |
|
|
|
272 |
|
|
|
0.78 |
|
|
|
0.88 |
|
Adjusted net income * |
$ |
796 |
|
|
$ |
1,592 |
|
|
$ |
2.75 |
|
|
$ |
5.18 |
|
|
|
|
|
|
|
|
|
||||||||
|
Twelve months ended |
||||||||||||||
|
Consolidated |
|
Per diluted common share |
||||||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||||||
Net income (loss) applicable to common shareholders |
$ |
1,485 |
|
|
$ |
5,461 |
|
|
$ |
4.96 |
|
|
$ |
17.31 |
|
Net (gains) losses on investments and derivatives |
|
(1,084 |
) |
|
|
(1,087 |
) |
|
|
(3.63 |
) |
|
|
(3.44 |
) |
Pension and other postretirement remeasurement (gains) losses |
|
(644 |
) |
|
|
(51 |
) |
|
|
(2.15 |
) |
|
|
(0.16 |
) |
Curtailment (gains) losses |
|
— |
|
|
|
(8 |
) |
|
|
— |
|
|
|
(0.03 |
) |
Reclassification of periodic settlements and accruals on non-hedge derivative instruments |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Business combination expenses and the amortization of purchased intangibles |
|
398 |
|
|
|
118 |
|
|
|
1.33 |
|
|
|
0.37 |
|
Business combination fair value adjustment |
|
(6 |
) |
|
|
— |
|
|
|
(0.02 |
) |
|
|
— |
|
(Income) loss from discontinued operations |
|
3,612 |
|
|
|
(157 |
) |
|
|
12.08 |
|
|
|
(0.50 |
) |
Income tax expense (benefit) |
|
272 |
|
|
|
234 |
|
|
|
0.91 |
|
|
|
0.74 |
|
Adjusted net income * |
$ |
4,033 |
|
|
$ |
4,510 |
|
|
$ |
13.48 |
|
|
$ |
14.29 |
|
Adjusted net income return on Allstate common shareholders’ equity is a ratio that uses a non-GAAP measure. It is calculated by dividing the rolling 12-month adjusted net income by the average of Allstate common shareholders’ equity at the beginning and at the end of the 12-months, after excluding the effect of unrealized net capital gains and losses. Return on Allstate common shareholders’ equity is the most directly comparable GAAP measure. We use adjusted net income as the numerator for the same reasons we use adjusted net income, as discussed previously. We use average Allstate common shareholders’ equity excluding the effect of unrealized net capital gains and losses for the denominator as a representation of common shareholders’ equity primarily applicable to Allstate's earned and realized business operations because it eliminates the effect of items that are unrealized and vary significantly between periods due to external economic developments such as capital market conditions like changes in equity prices and interest rates, the amount and timing of which are unrelated to the insurance underwriting process. We use it to supplement our evaluation of net income (loss) applicable to common shareholders and return on Allstate common shareholders’ equity because it excludes the effect of items that tend to be highly variable from period to period. We believe that this measure is useful to investors and that it provides a valuable tool for investors when considered along with return on Allstate common shareholders’ equity because it eliminates the after-tax effects of realized and unrealized net capital gains and losses that can fluctuate significantly from period to period and that are driven by economic developments, the magnitude and timing of which are generally not influenced by management. In addition, it eliminates non-recurring items that are not indicative of our ongoing business or economic trends. A byproduct of excluding the items noted above to determine adjusted net income return on Allstate common shareholders’ equity from return on Allstate common shareholders’ equity is the transparency and understanding of their significance to return on common shareholders’ equity variability and profitability while recognizing these or similar items may recur in subsequent periods. We use adjusted measures of adjusted net income return on Allstate common shareholders’ equity in incentive compensation. Therefore, we believe it is useful for investors to have adjusted net income return on Allstate common shareholders’ equity and return on Allstate common shareholders’ equity when evaluating our performance. We note that investors, financial analysts, financial and business media organizations and rating agencies utilize adjusted net income return on common shareholders’ equity results in their evaluation of our and our industry’s financial performance and in their investment decisions, recommendations and communications as it represents a reliable, representative and consistent measurement of the industry and the company and management’s utilization of capital. We also provide it to facilitate a comparison to our long-term adjusted net income return on Allstate common shareholders’ equity goal. Adjusted net income return on Allstate common shareholders’ equity should not be considered a substitute for return on Allstate common shareholders’ equity and does not reflect the overall profitability of our business.
The following tables reconcile return on Allstate common shareholders’ equity and adjusted net income return on Allstate common shareholders’ equity.
($ in millions) |
For the twelve months ended
|
||||||
|
2021 |
|
2020 |
||||
Return on Allstate common shareholders’ equity |
|
|
|
||||
Numerator: |
|
|
|
||||
Net income applicable to common shareholders |
$ |
1,485 |
|
|
$ |
5,461 |
|
Denominator: |
|
|
|
||||
Beginning Allstate common shareholders’ equity (1) |
$ |
28,247 |
|
|
$ |
23,750 |
|
Ending Allstate common shareholders’ equity (1) |
|
23,209 |
|
|
|
28,247 |
|
Average Allstate common shareholders’ equity |
$ |
25,728 |
|
|
$ |
25,999 |
|
Return on Allstate common shareholders’ equity |
|
5.8 |
% |
|
|
21.0 |
% |
($ in millions) |
For the twelve months ended
|
||||||
|
2021 |
|
2020 |
||||
Adjusted net income return on Allstate common shareholders’ equity |
|
|
|
||||
Numerator: |
|
|
|
||||
Adjusted net income * |
$ |
4,033 |
|
|
$ |
4,510 |
|
|
|
|
|
||||
Denominator: |
|
|
|
||||
Beginning Allstate common shareholders’ equity (1) |
$ |
28,247 |
|
|
$ |
23,750 |
|
Less: Unrealized net capital gains and losses |
|
3,180 |
|
|
|
1,887 |
|
Adjusted beginning Allstate common shareholders’ equity |
|
25,067 |
|
|
|
21,863 |
|
|
|
|
|
||||
Ending Allstate common shareholders’ equity (1) |
|
23,209 |
|
|
|
28,247 |
|
Less: Unrealized net capital gains and losses |
|
598 |
|
|
|
3,180 |
|
Adjusted ending Allstate common shareholders’ equity |
|
22,611 |
|
|
|
25,067 |
|
Average adjusted Allstate common shareholders’ equity |
$ |
23,839 |
|
|
$ |
23,465 |
|
Adjusted net income return on Allstate common shareholders’ equity * |
|
16.9 |
% |
|
|
19.2 |
% |
_____________
(1) |
Excludes equity related to preferred stock of |
Combined ratio excluding the effect of catastrophes, prior year reserve reestimates and amortization or impairment of purchased intangibles (“underlying combined ratio”) is a non-GAAP ratio, which is computed as the difference between four GAAP operating ratios: the combined ratio, the effect of catastrophes on the combined ratio, the effect of prior year non-catastrophe reserve reestimates on the combined ratio, and the effect of amortization or impairment of purchased intangibles on the combined ratio. We believe that this ratio is useful to investors and it is used by management to reveal the trends in our Property-Liability business that may be obscured by catastrophe losses, prior year reserve reestimates and amortization or impairment of purchased intangibles. Catastrophe losses cause our loss trends to vary significantly between periods as a result of their incidence of occurrence and magnitude, and can have a significant impact on the combined ratio. Prior year reserve reestimates are caused by unexpected loss development on historical reserves, which could increase or decrease current year net income. Amortization or impairment of purchased intangibles relates to the acquisition purchase price and is not indicative of our underlying insurance business results or trends. We believe it is useful for investors to evaluate these components separately and in the aggregate when reviewing our underwriting performance. We also provide it to facilitate a comparison to our outlook on the underlying combined ratio. The most directly comparable GAAP measure is the combined ratio. The underlying combined ratio should not be considered a substitute for the combined ratio and does not reflect the overall underwriting profitability of our business.
The following tables reconcile the respective combined ratio to the underlying combined ratio. Underwriting margin is calculated as
Property-Liability |
Three months ended
|
|
Twelve months ended
|
||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||
Combined ratio |
98.9 |
|
|
84.0 |
|
|
95.9 |
|
|
87.6 |
|
Effect of catastrophe losses |
(5.1 |
) |
|
(4.8 |
) |
|
(8.3 |
) |
|
(7.9 |
) |
Effect of prior year non-catastrophe reserve reestimates |
(1.8 |
) |
|
— |
|
|
(0.8 |
) |
|
(0.2 |
) |
Effect of amortization of purchased intangibles |
(0.7 |
) |
|
(0.1 |
) |
|
(0.6 |
) |
|
(0.1 |
) |
Underlying combined ratio* |
91.3 |
|
|
79.1 |
|
|
86.2 |
|
|
79.4 |
|
|
|
|
|
|
|
|
|
||||
Effect of prior year catastrophe reserve reestimates |
— |
|
|
— |
|
|
(0.5 |
) |
|
(1.4 |
) |
Allstate Protection - |
Three months ended
|
|
Twelve months ended
|
||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||
Combined ratio |
104.3 |
|
|
85.5 |
|
|
95.4 |
|
|
86.0 |
|
Effect of catastrophe losses |
(1.3 |
) |
|
(0.6 |
) |
|
(1.7 |
) |
|
(1.2 |
) |
Effect of prior year non-catastrophe reserve reestimates |
(2.1 |
) |
|
— |
|
|
(0.6 |
) |
|
0.3 |
|
Effect of amortization of purchased intangibles |
(0.7 |
) |
|
— |
|
|
(0.6 |
) |
|
— |
|
Underlying combined ratio* |
100.2 |
|
|
84.9 |
|
|
92.5 |
|
|
85.1 |
|
|
|
|
|
|
|
|
|
||||
Effect of prior year catastrophe reserve reestimates |
— |
|
|
(0.1 |
) |
|
(0.1 |
) |
|
(0.1 |
) |
Allstate Protection - |
Three months ended
|
|
Twelve months ended
|
||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||
Combined ratio |
87.1 |
|
|
78.5 |
|
|
96.8 |
|
|
90.0 |
|
Effect of catastrophe losses |
(16.6 |
) |
|
(16.8 |
) |
|
(26.3 |
) |
|
(27.9 |
) |
Effect of prior year non-catastrophe reserve reestimates |
— |
|
|
(0.1 |
) |
|
(0.2 |
) |
|
0.2 |
|
Effect of amortization of purchased intangibles |
(0.9 |
) |
|
(0.1 |
) |
|
(0.7 |
) |
|
— |
|
Underlying combined ratio* |
69.6 |
|
|
61.5 |
|
|
69.6 |
|
|
62.3 |
|
|
|
|
|
|
|
|
|
||||
Effect of prior year catastrophe reserve reestimates |
0.1 |
|
|
(0.1 |
) |
|
(1.7 |
) |
|
(5.1 |
) |
Underlying expense ratio is a non-GAAP ratio, which is computed as the difference between the expense ratio and the effect of amortization or impairment of purchased intangibles on the expense ratio. We believe that the measure provides investors with a valuable measure of ongoing performance because it reveals trends that may be obscured by the amortization or impairment of purchased intangible assets. Amortization or Impairment of purchased intangible assets is excluded because it relates to the acquisition purchase price and is not indicative of our business results or trends. We believe it is useful for investors to evaluate these components separately and in the aggregate when reviewing our underwriting performance. The most directly comparable GAAP measure is the expense ratio. The underlying expense ratio should not be considered a substitute for the expense ratio and does not reflect the overall expense ratio of our business.
The following tables reconciles the respective expense ratio to the underlying expense ratio.
Property-Liability |
Three months ended
|
|
Twelve months ended
|
||||||||
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||
Expense ratio |
25.0 |
|
|
24.7 |
|
|
24.5 |
|
|
26.8 |
|
Effect of amortization of purchased intangibles |
(0.7 |
) |
|
(0.1 |
) |
|
(0.6 |
) |
|
(0.1 |
) |
Underlying expense ratio* |
24.3 |
|
|
24.6 |
|
|
23.9 |
|
|
26.7 |
|
Adjusted underwriting expense ratio is a non-GAAP ratio, which is computed as the difference between the expense ratio and the effect of advertising expense, restructuring and related charges, amortization or impairment of purchased intangibles and Coronavirus related expenses on the expense ratio. We believe that the measure provides investors with a valuable measure of ongoing performance because it reveals trends that may be obscured by the advertising expense, restructuring and related charges, amortization or impairment of purchased intangibles and Coronavirus related expenses. Advertising expense is excluded as it may vary significantly from period to period based on business decisions and competitive position. Restructuring and related charges are excluded because these items are not indicative of our business results or trends. Coronavirus related expenses are excluded because these items are related to programs offered during the peak of the pandemic that are no longer available. Amortization or impairment of purchased intangible assets is excluded because it relates to the acquisition purchase price. These are not indicative of our business results or trends. A reduction in expenses enables investment flexibility that can drive growth. We believe it is useful for investors to evaluate these components separately and in the aggregate when reviewing our underwriting performance. The most directly comparable GAAP measure is the expense ratio. The adjusted underwriting expense ratio should not be considered a substitute for the expense ratio and does not reflect the overall expense ratio of our business.
Adjusted expense ratio is a non-GAAP ratio, which is computed as the combination of adjusted underwriting expense ratio and claims expense ratio excluding catastrophe expense. We believe it is useful for investors to evaluate this ratio which is linked to a long-term expense ratio improvement commitment through 2024. The most directly comparable GAAP measure is the expense ratio. The adjusted expense ratio should not be considered a substitute for the expense ratio and does not reflect the overall expense ratio of our business.
Coronavirus related expenses includes shelter-in-place payback and special payment plan bad debt expenses.
Claims expense ratio excluding catastrophe expense: Incurred loss adjustment expenses, net of reinsurance, excluding expenses related to catastrophes. These expenses are embedded within the loss ratio.
The following table reconciles the respective underlying expense ratio to the adjusted underlying expense ratio and adjusted expense ratio.
Property-Liability |
Twelve months ended |
|||||||||||
|
2021 |
|
2020 |
|
2019 |
|
2018 |
|||||
Underlying expense ratio* |
23.9 |
|
|
26.7 |
|
|
23.9 |
|
|
25.0 |
|
|
Effect of advertising expense |
(3.1 |
) |
|
(2.6 |
) |
|
(2.4 |
) |
|
(2.5 |
) |
|
Effect of restructuring and related charges |
(0.4 |
) |
|
(0.7 |
) |
|
(0.1 |
) |
|
(0.2 |
) |
|
Effect of Coronavirus related expenses |
(0.1 |
) |
|
(2.9 |
) |
|
— |
|
|
— |
|
|
Adjusted underwriting expense ratio* |
20.3 |
|
|
20.5 |
|
|
21.4 |
|
|
22.3 |
|
|
Claims expense ratio excluding catastrophe expense |
5.7 |
|
|
6.1 |
|
|
6.5 |
|
|
6.9 |
|
|
Adjusted expense ratio* |
26.0 |
|
|
26.6 |
|
|
27.9 |
|
|
29.2 |
|
|
# # # # #
View source version on businesswire.com: https://www.businesswire.com/news/home/20220202005991/en/
Media Relations
(847) 402-5600
Investor Relations
(847) 402-2800
Source:
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