Allstate Announces October 2023 Implemented Rates

Rhea-AI Summary

The Allstate Corporation (NYSE: ALL) announces implemented auto and homeowners insurance rate increases for October 2023, aiming to improve profitability. Rate increases for Allstate brand auto insurance have resulted in a premium impact of 10.4%, expected to raise annualized written premiums by approximately $2.70 billion. Rate increases for Allstate brand homeowners insurance have resulted in a premium impact of 9.6%, expected to raise annualized written premiums by approximately $982 million. Catastrophe losses were below the $150 million reporting threshold for October 2023.

Positive

• Implemented rate increases for auto and homeowners insurance aim to improve profitability
• Rate increases for auto insurance expected to raise annualized written premiums by approximately $2.70 billion
• Rate increases for homeowners insurance expected to raise annualized written premiums by approximately $982 million
• Catastrophe losses were below the $150 million reporting threshold for October 2023

Negative

• None.

NORTHBROOK, Ill.--(BUSINESS WIRE)-- The Allstate Corporation (NYSE: ALL) today announced implemented auto and homeowners insurance rates for October 2023.

“Allstate continued to implement significant auto and homeowners insurance rate actions as part of our comprehensive plan to improve profitability. Since the beginning of the year, rate increases for Allstate brand auto insurance have resulted in a premium impact of 10.4%, which are expected to raise annualized written premiums by approximately $2.70 billion, and rate increases for Allstate brand homeowners insurance have resulted in a premium impact of 9.6%, which are expected to raise annualized written premiums by approximately $982 million. Implemented rate increases and inflation in insured home replacement costs resulted in a 12.2% increase in homeowners insurance average gross written premium in October 2023 compared to the prior year,” said Jess Merten, Chief Financial Officer of The Allstate Corporation. Our implemented rate exhibit for auto and homeowners insurance has been posted on www.allstateinvestors.com.

Allstate’s estimated catastrophe losses were below the $150 million reporting threshold for October 2023.

Financial information, including material announcements about The Allstate Corporation, is routinely posted on www.allstateinvestors.com.

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 U.S. Securities and Exchange Commission, including the “Risk Factors” section in our most recent annual report on Form 10-K. Forward-looking statements are as of the date on which they are made, and we assume no obligation to update or revise any forward-looking statement.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231116979415/en/

Al Scott

Media Relations

(847) 402-5600

Brent Vandermause

Investor Relations

(847) 402-2800

Source: The Allstate Corporation

FAQ

What is the impact of the implemented rate increases on Allstate's auto insurance premiums?

The implemented rate increases for Allstate's auto insurance have resulted in a premium impact of 10.4%, expected to raise annualized written premiums by approximately $2.70 billion.

What is the impact of the implemented rate increases on Allstate's homeowners insurance premiums?

The implemented rate increases for Allstate's homeowners insurance have resulted in a premium impact of 9.6%, expected to raise annualized written premiums by approximately $982 million.

Were there any significant catastrophe losses reported for Allstate in October 2023?

Allstate's estimated catastrophe losses were below the $150 million reporting threshold for October 2023.