Allstate Reports Second Quarter 2023 Results
- Consolidated revenues increased by 14.4% to $13.98 billion.
- Property-Liability premiums written increased by 8.6% to $13.73 billion.
- Allstate Protection auto insurance premiums earned increased by 10.5% to $8.12 billion.
- Allstate Protection homeowners insurance premiums earned increased by 12.4% to $2.88 billion.
- Protection Services revenue increased by 9.1% to $686 million.
- Allstate Investments generated net investment income of $610 million.
- None.
The Allstate Corporation Consolidated Highlights (1) |
|||||||||||||||||
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||||
($ in millions, except per share data and ratios) |
2023 |
2022 |
% / pts
|
|
2023 |
2022 |
% / pts
|
||||||||||
Consolidated revenues |
$ |
13,979 |
|
$ |
12,219 |
|
14.4 |
% |
|
$ |
27,765 |
|
$ |
24,555 |
|
13.1 |
% |
Net loss applicable to common shareholders |
|
(1,389 |
) |
|
(1,040 |
) |
33.6 |
|
|
|
(1,735 |
) |
|
(406 |
) |
NM |
|
per diluted common share (2) |
|
(5.29 |
) |
|
(3.80 |
) |
39.2 |
|
|
|
(6.59 |
) |
|
(1.47 |
) |
NM |
|
Adjusted net income (loss)* |
|
(1,162 |
) |
|
(207 |
) |
NM |
|
|
|
(1,504 |
) |
|
523 |
|
NM |
|
per diluted common share* (2) |
|
(4.42 |
) |
|
(0.75 |
) |
NM |
|
|
|
(5.72 |
) |
|
1.87 |
|
NM |
|
Return on Allstate common shareholders’ equity (trailing twelve months) |
|
|
|
|
|
||||||||||||
Net income (loss) applicable to common shareholders |
|
|
|
|
|
(17.2 |
)% |
|
4.2 |
% |
(21.4 |
) |
|||||
Adjusted net income (loss)* |
|
|
|
|
|
(12.7 |
)% |
|
7.1 |
% |
(19.8 |
) |
|||||
Common shares outstanding (in millions) |
|
|
|
|
|
261.8 |
|
|
271.2 |
|
(3.5 |
) |
|||||
Book value per common share |
|
|
|
|
|
51.29 |
|
|
65.96 |
|
(22.2 |
) |
|||||
|
|
|
|
|
|
|
|
||||||||||
Consolidated premiums written (3) |
|
13,731 |
|
|
12,644 |
|
8.6 |
|
|
|
26,596 |
|
|
24,503 |
|
8.5 |
|
Property-Liability insurance premiums earned |
|
11,921 |
|
|
10,874 |
|
9.6 |
|
|
|
23,556 |
|
|
21,372 |
|
10.2 |
|
Property-Liability combined ratio |
|
|
|
|
|
|
|
||||||||||
Recorded |
|
117.6 |
|
|
107.9 |
|
9.7 |
|
|
|
113.1 |
|
|
102.7 |
|
10.4 |
|
Underlying combined ratio* |
|
92.9 |
|
|
93.4 |
|
(0.5 |
) |
|
|
93.1 |
|
|
92.2 |
|
0.9 |
|
Catastrophe losses |
|
2,696 |
|
|
1,108 |
|
143.3 |
|
|
|
4,387 |
|
|
1,570 |
|
179.4 |
|
Total policies in force (in thousands) |
|
|
|
|
|
188,022 |
|
|
187,680 |
|
0.2 |
|
(1) |
Prior periods have been recast to reflect the impact of the adoption of Financial Accounting Standard Board (“FASB”) guidance revising the accounting for certain long-duration insurance contracts in the Health and Benefits segment. |
|
(2) |
In periods where a net loss or adjusted net loss is reported, weighted average shares for basic earnings per share is used for calculating diluted earnings per share because all dilutive potential common shares are anti-dilutive and are therefore excluded from the calculation. |
|
(3) |
Includes premiums and contract charges for Allstate Health and Benefits segment. |
|
* |
Measures used in this release that are not based on accounting principles generally accepted in |
|
NM = not meaningful |
“Allstate’s excellent operating capabilities enabled us to navigate a difficult external environment while building long-term value,” said Tom Wilson, Chair, President and CEO of The Allstate Corporation. “Severe weather resulted in 42 catastrophe events, where we remediated losses for 160,000 customers, causing net catastrophe losses of
“Our strategy to become the lowest cost protection provider and broaden customer relationships is supporting near-term profit improvement while building a foundation for growth. Sustainable cost reductions are being implemented, lowering current and future costs. Distribution programs have improved productivity, expanded reach and lowered costs, which will drive accelerated growth as auto and homeowners insurance margins improve. Affordable, simple and connected property-liability products with sophisticated telematics pricing are being introduced through a new technology platform. Protection Plans is expanding with new products and retail relationships and in international markets. Allstate will improve results while building an enhanced business model to better serve customers, generate attractive returns for shareholders and create opportunity for the Allstate team,” concluded Wilson.
Second Quarter 2023 Results
-
Total revenues of
in the second quarter of 2023 increased$14.0 billion 14.4% , or , compared to the prior year quarter driven by a$1.8 billion increase in Property-Liability earned premium and net gains on equity valuations in the second quarter of 2023 compared to losses in 2022.$1.0 billion
-
Net loss applicable to common shareholders was
in the second quarter of 2023 compared to$1.4 billion in the prior year quarter. The result was driven by increased underwriting losses primarily due to higher catastrophe losses. Adjusted net loss* was$1.0 billion , or$1.2 billion per diluted share, in the second quarter of 2023, compared to an adjusted net loss* of$4.42 in the prior year quarter.$207 million
-
Property-Liability earned premium of
increased$11.9 billion 9.6% in the second quarter of 2023 compared to the prior year quarter, primarily driven by higher average premiums. The underwriting loss in the quarter increased by$2.1 billion compared to the prior year quarter, driven by a$1.2 billion increase in catastrophe losses.$1.6 billion
Property-Liability Results |
|||||||||||||||||
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||||
($ in millions) |
2023 |
2022 |
% / pts
|
|
2023 |
2022 |
% / pts
|
||||||||||
Premiums earned |
$ |
11,921 |
|
$ |
10,874 |
|
9.6 |
% |
|
$ |
23,556 |
|
$ |
21,372 |
|
10.2 |
% |
Allstate brand |
|
10,002 |
|
|
9,288 |
|
7.7 |
|
|
|
19,854 |
|
|
18,299 |
|
8.5 |
|
National General |
|
1,919 |
|
|
1,586 |
|
21.0 |
|
|
|
3,702 |
|
|
3,073 |
|
20.5 |
|
|
|
|
|
|
|
|
|
||||||||||
Premiums written |
$ |
12,620 |
|
$ |
11,509 |
|
9.7 |
% |
|
$ |
24,403 |
|
$ |
22,270 |
|
9.6 |
% |
Allstate brand |
|
10,525 |
|
|
9,862 |
|
6.7 |
|
|
|
20,230 |
|
|
18,897 |
|
7.1 |
|
National General |
|
2,095 |
|
|
1,647 |
|
27.2 |
|
|
|
4,173 |
|
|
3,373 |
|
23.7 |
|
|
|
|
|
|
|
|
|
||||||||||
Underwriting income (loss) |
|
(2,094 |
) |
|
(864 |
) |
NM |
|
|
|
(3,095 |
) |
|
(584 |
) |
NM |
|
Allstate brand |
|
(1,847 |
) |
|
(825 |
) |
NM |
|
|
|
(2,819 |
) |
|
(574 |
) |
NM |
|
National General |
|
(248 |
) |
|
(38 |
) |
NM |
|
|
|
(276 |
) |
|
(9 |
) |
NM |
|
|
|
|
|
|
|
|
|
||||||||||
Recorded combined ratio |
|
117.6 |
|
|
107.9 |
|
9.7 |
|
|
|
113.1 |
|
|
102.7 |
|
10.4 |
|
Underlying combined ratio* |
|
92.9 |
|
|
93.4 |
|
(0.5 |
) |
|
|
93.1 |
|
|
92.2 |
|
0.9 |
|
-
Premiums written of
increased$12.6 billion 9.7% compared to the prior year quarter driven by both the Allstate brand and National General. Allstate brand increased6.7% primarily due to higher auto and homeowners average premium, partially offset by the impact of profitability actions on personal auto policies in force and commercial lines. National General increased27.2% reflecting higher average premium and policies in force growth.
-
Allstate brand underwriting loss of
increased by$1.8 billion compared to the prior year quarter, driven by higher catastrophe losses and non-catastrophe loss costs, partially offset by higher earned premiums, less unfavorable non-catastrophe prior year reserve reestimates and lower expenses.$1.0 billion
-
National General underwriting loss of
increased by$248 million compared to the prior year quarter, reflecting higher unfavorable non-catastrophe prior year reserve reestimates, primarily related to personal auto injury coverages, and higher catastrophe and non-catastrophe losses, partially offset by higher earned premium.$210 million
- Property-Liability underlying combined ratio* of 92.9 in the second quarter of 2023 improved 0.5 points compared to the prior year quarter, reflecting higher earned premiums and lower expenses which were partially offset by higher claim severity and auto accident frequency.
- Allstate Protection auto insurance results reflect the impact of inflation in loss costs and the comprehensive plan to restore margins through higher rates, lower expenses, underwriting actions and claims process enhancements. National General’s distribution capacity and a broader product portfolio is generating growth through independent agents.
Allstate Protection Auto Results |
|||||||||||||||||
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||||
($ in millions, except ratios) |
2023 |
2022 |
% / pts
|
|
2023 |
2022 |
% / pts
|
||||||||||
Premiums earned |
$ |
8,121 |
$ |
7,348 |
10.5 |
% |
|
$ |
16,029 |
$ |
14,429 |
11.1 |
% |
||||
Allstate brand |
|
6,772 |
|
|
6,253 |
|
8.3 |
|
|
|
13,432 |
|
|
12,326 |
|
9.0 |
|
National General |
|
1,349 |
|
|
1,095 |
|
23.2 |
|
|
|
2,597 |
|
|
2,103 |
|
23.5 |
|
|
|
|
|
|
|
|
|
||||||||||
Premiums written |
$ |
8,269 |
|
$ |
7,470 |
|
10.7 |
% |
|
|
16,618 |
|
|
15,032 |
|
10.6 |
% |
Allstate brand |
|
6,821 |
|
|
6,374 |
|
7.0 |
|
|
|
13,647 |
|
|
12,682 |
|
7.6 |
|
National General |
|
1,448 |
|
|
1,096 |
|
32.1 |
|
|
|
2,971 |
|
|
2,350 |
|
26.4 |
|
|
|
|
|
|
|
|
|
||||||||||
Policies in Force (in thousands) |
|
|
|
|
|
25,520 |
|
|
26,192 |
|
(2.6 |
) |
|||||
Allstate brand |
|
|
|
|
|
20,821 |
|
|
21,979 |
|
(5.3 |
) |
|||||
National General |
|
|
|
|
|
4,699 |
|
|
4,213 |
|
11.5 |
|
|||||
|
|
|
|
|
|
|
|
||||||||||
Recorded combined ratio |
|
108.3 |
|
|
107.9 |
|
0.4 |
|
|
|
106.4 |
|
|
105.0 |
|
1.4 |
|
Underlying combined ratio* |
|
102.2 |
|
|
102.1 |
|
0.1 |
|
|
|
102.4 |
|
|
100.5 |
|
1.9 |
|
-
Earned and written premiums increased
10.5% and10.7% compared to the prior year quarter, respectively. The increase was driven by higher average premium from rate increases, partially offset by a decline in policies in force.
-
Allstate brand auto net written premium growth of
7.0% compared to the prior year quarter reflects a14.4% increase in average gross written premium driven by rate increases, partially offset by a decline in policies in force from lower new business and retention.
-
National General auto net written premium grew
32.1% compared to the prior year quarter driven by higher average premium and increased policies in force.
-
Allstate brand auto rate increases were implemented in 34 locations in the second quarter at an average of
10.0% , resulting in an annualized total brand premium impact of5.8% in the quarter and7.5% through the first six months of 2023. National General auto rate increases were implemented in 27 locations in the second quarter at an average of13.9% , resulting in an annualized total brand premium impact of3.6% in the quarter and5.5% through the first six months of 2023. We expect to continue to pursue additional rate increases in 2023 to improve auto insurance profitability.
- The recorded auto insurance combined ratio of 108.3 in the second quarter of 2023 was 0.4 points above the prior year quarter, reflecting higher catastrophe losses, which were partially offset by lower unfavorable non-catastrophe prior year reserve reestimates.
- The underlying combined ratio* of 102.2 was 0.1 point above the prior year quarter as higher incurred losses from increased claim severity and accident frequency were largely offset by higher average premium and lower expenses.
- Allstate Protection homeowners insurance continued to grow by increasing rates and policy growth but underwriting income was negatively impacted by elevated catastrophe losses related to more frequent and severe weather events.
Allstate Protection Homeowners Results |
|||||||||||||||||
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||||
($ in millions, except ratios) |
2023 |
2022 |
% / pts
|
|
2023 |
2022 |
% / pts
|
||||||||||
Premiums earned |
$ |
2,883 |
$ |
2,566 |
12.4 |
% |
|
$ |
5,693 |
$ |
5,056 |
12.6 |
% |
||||
Allstate brand |
|
2,537 |
|
|
2,281 |
|
11.2 |
|
|
|
5,025 |
|
|
4,491 |
|
11.9 |
|
National General |
|
346 |
|
|
285 |
|
21.4 |
|
|
|
668 |
|
|
565 |
|
18.2 |
|
|
|
|
|
|
|
|
|
||||||||||
Premiums written |
$ |
3,381 |
|
$ |
3,008 |
|
12.4 |
% |
|
$ |
5,915 |
|
$ |
5,289 |
|
11.8 |
% |
Allstate brand |
|
2,937 |
|
|
2,665 |
|
10.2 |
|
|
|
5,147 |
|
|
4,685 |
|
9.9 |
|
National General |
|
444 |
|
|
343 |
|
29.4 |
|
|
|
768 |
|
|
604 |
|
27.2 |
|
|
|
|
|
|
|
|
|
||||||||||
Policies in Force (in thousands) |
|
|
|
|
|
7,268 |
|
|
7,197 |
|
1.0 |
|
|||||
Allstate brand |
|
|
|
|
|
6,614 |
|
|
6,566 |
|
0.7 |
|
|||||
National General |
|
|
|
|
|
654 |
|
|
631 |
|
3.6 |
|
|||||
|
|
|
|
|
|
|
|
||||||||||
Recorded combined ratio |
|
145.3 |
|
|
107.5 |
|
37.8 |
|
|
|
132.3 |
|
|
95.9 |
|
36.4 |
|
Catastrophe Losses |
$ |
2,189 |
|
$ |
913 |
|
139.8 |
% |
|
$ |
3,638 |
|
$ |
1,296 |
|
180.7 |
% |
Underlying combined ratio* |
|
67.6 |
|
|
69.5 |
|
(1.9 |
) |
|
|
67.6 |
|
|
68.8 |
|
(1.2 |
) |
-
Earned and written premiums both increased
12.4% compared to the prior year quarter, primarily reflecting higher average premium and policies in force growth of1.0% compared to the second quarter of 2022.
-
Allstate brand net written premium increased
10.2% compared to the prior year quarter, primarily driven by a13.2% increase in average gross written premium due to implemented rate increases and inflation in insured home replacement costs.
-
National General net written premium grew
29.4% compared to the prior year quarter primarily due to higher average premium as rates were increased to improve underwriting margins, and policies in force growth.
-
Allstate brand homeowners implemented rate increases in 20 locations in the second quarter at an average of
12.3% , resulting in an annualized total brand premium impact of2.5% in the quarter and7.4% through the first six months of 2023. National General homeowners rate increases were implemented in 10 locations in the second quarter at an average of23.5% , resulting in an annualized total brand premium impact of3.8% in the quarter and5.3% through the first six months of 2023.
- The recorded homeowners insurance combined ratio of 145.3 was 37.8 points higher than the second quarter of 2022, due to catastrophe losses.
-
Catastrophe losses of
in the quarter increased$2.2 billion compared to the prior year quarter, primarily related to an increased number of wind/hail events and larger losses per event.$1.3 billion
- The underlying combined ratio* of 67.6 decreased by 1.9 points compared to the prior year quarter, driven by higher earned premium and a lower expense ratio, partially offset by higher non-catastrophe claim severity.
-
Protection Services continues to broaden the protection provided to an increasing number of customers largely through embedded distribution programs. Revenues increased to
in the second quarter of 2023,$686 million 9.1% higher than the prior year quarter, primarily due to Allstate Protection Plans and Allstate Dealer Services, partially offset by a decline at Arity. Adjusted net income of decreased by$41 million compared to the prior year quarter, primarily due to higher claim severity and growth investments at Allstate Protection Plans.$2 million
Protection Services Results |
|||||||||||||||||||
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||||||
($ in millions) |
2023 |
2022 |
% / $
|
|
2023 |
2022 |
% / $
|
||||||||||||
Total revenues (1) |
$ |
686 |
|
$ |
629 |
|
|
9.1 |
% |
|
$ |
1,357 |
|
$ |
1,256 |
|
|
8.0 |
% |
Allstate Protection Plans |
|
399 |
|
|
338 |
|
|
18.0 |
|
|
|
784 |
|
|
667 |
|
|
17.5 |
|
Allstate Dealer Services |
|
148 |
|
|
139 |
|
|
6.5 |
|
|
|
296 |
|
|
274 |
|
|
8.0 |
|
Allstate Roadside |
|
66 |
|
|
64 |
|
|
3.1 |
|
|
|
130 |
|
|
129 |
|
|
0.8 |
|
Arity |
|
35 |
|
|
52 |
|
|
(32.7 |
) |
|
|
72 |
|
|
114 |
|
|
(36.8 |
) |
Allstate Identity Protection |
|
38 |
|
|
36 |
|
|
5.6 |
|
|
|
75 |
|
|
72 |
|
|
4.2 |
|
Adjusted net income (loss) |
$ |
41 |
|
$ |
43 |
|
$ |
(2 |
) |
|
$ |
75 |
|
$ |
96 |
|
$ |
(21 |
) |
Allstate Protection Plans |
|
31 |
|
|
36 |
|
|
(5 |
) |
|
|
59 |
|
|
79 |
|
|
(20 |
) |
Allstate Dealer Services |
|
6 |
|
|
8 |
|
|
(2 |
) |
|
|
13 |
|
|
17 |
|
|
(4 |
) |
Allstate Roadside |
|
6 |
|
|
1 |
|
|
5 |
|
|
|
10 |
|
|
3 |
|
|
7 |
|
Arity |
|
(3 |
) |
|
(1 |
) |
|
(2 |
) |
|
|
(7 |
) |
|
(2 |
) |
|
(5 |
) |
Allstate Identity Protection |
|
1 |
|
|
(1 |
) |
|
2 |
|
|
|
— |
|
|
(1 |
) |
|
1 |
|
(1) Excludes net gains and losses on investments and derivatives. |
-
Allstate Protection Plans’ relationships with major retailers resulted in revenue of
,$399 million or$61 million 18.0% higher than the prior year quarter, reflecting expanded products and international growth. Adjusted net income of in the second quarter of 2023 was$31 million lower than the prior year quarter, primarily due to the proportion of lower margin business and higher appliance and furniture claim severity.$5 million
-
Allstate Dealer Services generated revenue of
through auto dealers, which was$148 million 6.5% higher than the second quarter of 2022 due to higher earned premium from rate increases. Adjusted net income of in the second quarter was$6 million lower than the prior year quarter driven by increased claim severity.$2 million
-
Allstate Roadside revenue of
in the second quarter of 2023 increased$66 million 3.1% compared to the prior year quarter driven by price increases. Adjusted net income was higher than the prior year quarter, primarily driven by increased pricing and lower loss severity from in-network sourcing.$5 million
-
Arity revenue of
decreased$35 million compared to the prior year quarter, primarily due to reductions in insurance client advertising. Adjusted net loss of$17 million in the second quarter of 2023 compared to a$3 million loss in the prior year quarter reflects lower revenue.$1 million
-
Allstate Identity Protection revenue of
in the second quarter of 2023 was$38 million 5.6% higher than the prior year quarter due to growth from new and existing clients. Adjusted net income of in the second quarter of 2023 compared to a$1 million loss in the prior year quarter reflects lower expenses.$1 million
-
Allstate Health and Benefits premiums and contract charges decreased
2.6% compared to the prior year quarter, primarily driven by a decline in individual health and employer voluntary benefits, partially offset by growth in group health. Adjusted net income of in the second quarter of 2023 decreased$57 million compared to the prior year quarter, primarily due to a decline in employer voluntary benefits and individual health as well as growth related investments.$10 million
Allstate Health and Benefits Results (1) |
|||||||||||||||||
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||||
($ in millions) |
2023 |
2022 |
%
|
|
2023 |
2022 |
%
|
||||||||||
Premiums and contract charges |
$ |
453 |
$ |
465 |
(2.6 |
)% |
|
$ |
916 |
$ |
933 |
(1.8 |
)% |
||||
Employer voluntary benefits |
|
245 |
|
|
257 |
|
(4.7 |
) |
|
|
500 |
|
|
520 |
|
(3.8 |
) |
Group health |
|
110 |
|
|
95 |
|
15.8 |
|
|
|
217 |
|
|
189 |
|
14.8 |
|
Individual health |
|
98 |
|
|
113 |
|
(13.3 |
) |
|
|
199 |
|
|
224 |
|
(11.2 |
) |
Adjusted net income |
|
57 |
|
|
67 |
|
(14.9 |
) |
|
|
113 |
|
|
124 |
|
(8.9 |
) |
(1) Prior periods have been recast to reflect the impact of the adoption of FASB guidance revising the accounting for certain long-duration insurance contracts. |
-
Allstate Investments
portfolio generated net investment income of$63.7 billion in the second quarter of 2023, an increase of$610 million from the prior year quarter as higher market-based income was partially offset by lower performance-based results.$48 million
Allstate Investment Results |
|||||||||||||||||||
|
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||||||
($ in millions, except ratios) |
2023 |
2022 |
$ / pts
|
|
2023 |
2022 |
$ / pts
|
||||||||||||
Net investment income |
$ |
610 |
|
$ |
562 |
|
$ |
48 |
|
|
$ |
1,185 |
|
$ |
1,156 |
|
$ |
29 |
|
Market-based investment income (1) |
|
536 |
|
|
368 |
|
|
168 |
|
|
|
1,043 |
|
|
691 |
|
|
352 |
|
Performance-based investment income (1) |
|
127 |
|
|
236 |
|
|
(109 |
) |
|
|
253 |
|
|
542 |
|
|
(289 |
) |
Net gains (losses) on investments and derivatives |
|
(151 |
) |
|
(733 |
) |
|
582 |
|
|
|
(137 |
) |
|
(1,000 |
) |
|
863 |
|
Change in unrealized net capital gains and losses, pre-tax |
|
(342 |
) |
|
(1,459 |
) |
|
1,117 |
|
|
|
530 |
|
|
(3,497 |
) |
|
4,027 |
|
Total return on investment portfolio |
|
0.2 |
% |
|
(2.8 |
)% |
|
3.0 |
|
|
|
2.5 |
% |
|
(5.6 |
)% |
|
8.1 |
|
Total return on investment portfolio (trailing twelve months) |
|
|
|
|
|
4.2 |
% |
|
(3.5 |
)% |
|
7.7 |
|
||||||
(1) Investment expenses are not allocated between market-based and performance-based portfolios with the exception of investee level expenses. |
-
Market-based investment income was
in the second quarter of 2023, an increase of$536 million , or$168 million 45.7% , compared to the prior year quarter, reflecting higher yields in the fixed income portfolio and extending duration to 4.4 years, from 4.0 years in the prior quarter. Investment portfolio allocations are based on the enterprise risk and return position, capital levels and expected returns. Equity risk in the market-based portfolio was reduced over the last year to lower overall risk levels.$45.5 billion
-
Performance-based investment income totaled
in the second quarter of 2023, a decrease of$127 million compared to the prior year quarter. Portfolio allocation to performance-based assets has remained stable as these investments provide a diversifying source of high returns, despite volatility in reported results. Current quarter results reflect lower valuation increases and gains on the sale of underlying investments compared to the prior year quarter.$109 million
-
Net losses on investments and derivatives were
in the second quarter of 2023, compared to$151 million in the prior year quarter. Net losses in the second quarter of 2023 were driven by sales of fixed income securities.$733 million
-
Unrealized net capital losses were
,$2.4 billion more than the prior quarter, as higher interest rates resulted in lower fixed income valuations.$342 million
-
Total return on the investment portfolio was
0.2% for the second quarter of 2023.
Proactive Capital Management
“Allstate’s sophisticated capital management framework is designed to ensure capital adequacy and generate attractive returns for shareholders. A robust reinsurance program is in place to mitigate losses from large catastrophes and homeowners insurance geographic exposures are managed to generate appropriate risk adjusted returns. The investment portfolio risk profile has been adjusted and fixed income duration has been extended to sustainably increase income in a higher yield environment. Share repurchases under the current
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 11 a.m. ET on Wednesday, August 2. 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
THE ALLSTATE CORPORATION AND SUBSIDIARIES |
|||||||
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (UNAUDITED) |
|||||||
|
|
|
|
||||
($ in millions, except par value data)
|
June 30,
|
|
December 31,
|
||||
Assets |
|
|
|
||||
Investments |
|
|
|
||||
Fixed income securities, at fair value (amortized cost, net |
$ |
45,550 |
|
|
$ |
42,485 |
|
Equity securities, at fair value (cost |
|
2,290 |
|
|
|
4,567 |
|
Mortgage loans, net |
|
823 |
|
|
|
762 |
|
Limited partnership interests |
|
8,150 |
|
|
|
8,114 |
|
Short-term, at fair value (amortized cost |
|
5,137 |
|
|
|
4,173 |
|
Other investments, net |
|
1,718 |
|
|
|
1,728 |
|
Total investments |
|
63,668 |
|
|
|
61,829 |
|
Cash |
|
699 |
|
|
|
736 |
|
Premium installment receivables, net |
|
9,713 |
|
|
|
9,165 |
|
Deferred policy acquisition costs |
|
5,607 |
|
|
|
5,442 |
|
Reinsurance and indemnification recoverables, net |
|
9,151 |
|
|
|
9,619 |
|
Accrued investment income |
|
471 |
|
|
|
423 |
|
Deferred income taxes |
|
480 |
|
|
|
382 |
|
Property and equipment, net |
|
945 |
|
|
|
987 |
|
Goodwill |
|
3,502 |
|
|
|
3,502 |
|
Other assets, net |
|
6,278 |
|
|
|
5,904 |
|
Total assets |
$ |
100,514 |
|
|
$ |
97,989 |
|
Liabilities |
|
|
|
||||
Reserve for property and casualty insurance claims and claims expense |
$ |
40,531 |
|
|
$ |
37,541 |
|
Reserve for future policy benefits |
|
1,339 |
|
|
|
1,322 |
|
Contractholder funds |
|
881 |
|
|
|
879 |
|
Unearned premiums |
|
23,355 |
|
|
|
22,299 |
|
Claim payments outstanding |
|
1,387 |
|
|
|
1,268 |
|
Other liabilities and accrued expenses |
|
9,700 |
|
|
|
9,353 |
|
Debt |
|
7,949 |
|
|
|
7,964 |
|
Total liabilities |
|
85,142 |
|
|
|
80,626 |
|
Equity |
|
|
|
||||
Preferred stock and additional capital paid-in, |
|
2,001 |
|
|
|
1,970 |
|
Common stock, |
|
9 |
|
|
|
9 |
|
Additional capital paid-in |
|
3,786 |
|
|
|
3,788 |
|
Retained income |
|
48,766 |
|
|
|
50,970 |
|
Treasury stock, at cost (638 million and 637 million shares) |
|
(37,131 |
) |
|
|
(36,857 |
) |
Accumulated other comprehensive income: |
|
|
|
||||
Unrealized net capital gains and losses |
|
(1,845 |
) |
|
|
(2,255 |
) |
Unrealized foreign currency translation adjustments |
|
(87 |
) |
|
|
(165 |
) |
Unamortized pension and other postretirement prior service credit |
|
20 |
|
|
|
29 |
|
Discount rate for reserve for future policy benefits |
|
(2 |
) |
|
|
(1 |
) |
Total accumulated other comprehensive income |
|
(1,914 |
) |
|
|
(2,392 |
) |
Total Allstate shareholders’ equity |
|
15,517 |
|
|
|
17,488 |
|
Noncontrolling interest |
|
(145 |
) |
|
|
(125 |
) |
Total equity |
|
15,372 |
|
|
|
17,363 |
|
Total liabilities and equity |
$ |
100,514 |
|
|
$ |
97,989 |
|
THE ALLSTATE CORPORATION AND SUBSIDIARIES |
|||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) |
|||||||||||||||
|
|
|
|
||||||||||||
($ in millions, except per share data) |
Three months ended June 30, |
|
Six months ended June 30, |
||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
|
|
|
|
|
|
|
|
||||||||
Revenues |
|
|
|
|
|
|
|
||||||||
Property and casualty insurance premiums |
$ |
12,470 |
|
|
$ |
11,362 |
|
|
$ |
24,643 |
|
|
$ |
22,343 |
|
Accident and health insurance premiums and contract charges |
|
453 |
|
|
|
465 |
|
|
|
916 |
|
|
|
933 |
|
Other revenue |
|
597 |
|
|
|
563 |
|
|
|
1,158 |
|
|
|
1,123 |
|
Net investment income |
|
610 |
|
|
|
562 |
|
|
|
1,185 |
|
|
|
1,156 |
|
Net gains (losses) on investments and derivatives |
|
(151 |
) |
|
|
(733 |
) |
|
|
(137 |
) |
|
|
(1,000 |
) |
Total revenues |
|
13,979 |
|
|
|
12,219 |
|
|
|
27,765 |
|
|
|
24,555 |
|
|
|
|
|
|
|
|
|
||||||||
Costs and expenses |
|
|
|
|
|
|
|
||||||||
Property and casualty insurance claims and claims expense |
|
11,727 |
|
|
|
9,367 |
|
|
|
22,053 |
|
|
|
17,189 |
|
Accident, health and other policy benefits |
|
258 |
|
|
|
265 |
|
|
|
523 |
|
|
|
533 |
|
Amortization of deferred policy acquisition costs |
|
1,789 |
|
|
|
1,618 |
|
|
|
3,533 |
|
|
|
3,226 |
|
Operating costs and expenses |
|
1,786 |
|
|
|
1,850 |
|
|
|
3,502 |
|
|
|
3,752 |
|
Pension and other postretirement remeasurement (gains) losses |
|
(40 |
) |
|
|
259 |
|
|
|
(93 |
) |
|
|
12 |
|
Restructuring and related charges |
|
27 |
|
|
|
1 |
|
|
|
54 |
|
|
|
13 |
|
Amortization of purchased intangibles |
|
82 |
|
|
|
87 |
|
|
|
163 |
|
|
|
174 |
|
Interest expense |
|
98 |
|
|
|
83 |
|
|
|
184 |
|
|
|
166 |
|
Total costs and expenses |
|
15,727 |
|
|
|
13,530 |
|
|
|
29,919 |
|
|
|
25,065 |
|
|
|
|
|
|
|
|
|
||||||||
Loss from operations before income tax expense |
|
(1,748 |
) |
|
|
(1,311 |
) |
|
|
(2,154 |
) |
|
|
(510 |
) |
|
|
|
|
|
|
|
|
||||||||
Income tax benefit |
|
(373 |
) |
|
|
(289 |
) |
|
|
(458 |
) |
|
|
(138 |
) |
|
|
|
|
|
|
|
|
||||||||
Net loss |
|
(1,375 |
) |
|
|
(1,022 |
) |
|
|
(1,696 |
) |
|
|
(372 |
) |
|
|
|
|
|
|
|
|
||||||||
Less: Net loss attributable to noncontrolling interest |
|
(23 |
) |
|
|
(9 |
) |
|
|
(24 |
) |
|
|
(19 |
) |
|
|
|
|
|
|
|
|
||||||||
Net loss attributable to Allstate |
|
(1,352 |
) |
|
|
(1,013 |
) |
|
|
(1,672 |
) |
|
|
(353 |
) |
|
|
|
|
|
|
|
|
||||||||
Less: Preferred stock dividends |
|
37 |
|
|
|
27 |
|
|
|
63 |
|
|
|
53 |
|
|
|
|
|
|
|
|
|
||||||||
Net loss applicable to common shareholders |
$ |
(1,389 |
) |
|
$ |
(1,040 |
) |
|
$ |
(1,735 |
) |
|
$ |
(406 |
) |
|
|
|
|
|
|
|
|
||||||||
Earnings per common share: |
|
|
|
|
|
|
|
||||||||
Net loss applicable to common shareholders per common share - Basic |
$ |
(5.29 |
) |
|
$ |
(3.80 |
) |
|
$ |
(6.59 |
) |
|
$ |
(1.47 |
) |
Weighted average common shares - Basic |
|
262.6 |
|
|
|
273.8 |
|
|
|
263.1 |
|
|
|
275.9 |
|
Net loss applicable to common shareholders per common share - Diluted |
$ |
(5.29 |
) |
|
$ |
(3.80 |
) |
|
$ |
(6.59 |
) |
|
$ |
(1.47 |
) |
Weighted average common shares - Diluted |
|
262.6 |
|
|
|
273.8 |
|
|
|
263.1 |
|
|
|
275.9 |
|
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
- Pension and other postretirement remeasurement gains and losses
- Amortization or impairment of purchased intangibles
- Gain or loss on disposition
- 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, amortization or impairment of purchased intangibles, gain or loss on disposition 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. Gain or loss on disposition is excluded because it is 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 (loss) generally use a
($ in millions, except per share data) |
Three months ended June 30, |
||||||||||||||
|
Consolidated |
|
Per diluted common share |
||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
Net loss applicable to common shareholders (1) |
$ |
(1,389 |
) |
|
$ |
(1,040 |
) |
|
$ |
(5.29 |
) |
|
$ |
(3.80 |
) |
Net (gains) losses on investments and derivatives |
|
151 |
|
|
|
733 |
|
|
|
0.58 |
|
|
|
2.68 |
|
Pension and other postretirement remeasurement (gains) losses |
|
(40 |
) |
|
|
259 |
|
|
|
(0.15 |
) |
|
|
0.95 |
|
Amortization of purchased intangibles |
|
82 |
|
|
|
87 |
|
|
|
0.31 |
|
|
|
0.32 |
|
(Gain) loss on disposition |
|
8 |
|
|
|
(27 |
) |
|
|
0.03 |
|
|
|
(0.10 |
) |
Non-recurring costs (2) |
|
90 |
|
|
|
— |
|
|
|
0.34 |
|
|
|
— |
|
Income tax expense (benefit) |
|
(64 |
) |
|
|
(219 |
) |
|
|
(0.24 |
) |
|
|
(0.80 |
) |
Adjusted net loss * (1) |
$ |
(1,162 |
) |
|
$ |
(207 |
) |
|
$ |
(4.42 |
) |
|
$ |
(0.75 |
) |
|
|
|
|
|
|
|
|
||||||||
Weighted average dilutive potential common shares excluded due to net loss applicable to common shareholders (1) |
|
|
|
|
|
1.7 |
|
|
|
3.2 |
|
||||
|
|
|
|
|
|
|
|
||||||||
|
Six months ended June 30, |
||||||||||||||
|
Consolidated |
|
Per diluted common share |
||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||||||
Net loss applicable to common shareholders (1) |
$ |
(1,735 |
) |
|
$ |
(406 |
) |
|
$ |
(6.59 |
) |
|
$ |
(1.47 |
) |
Net (gains) losses on investments and derivatives |
|
137 |
|
|
|
1,000 |
|
|
|
0.52 |
|
|
|
3.58 |
|
Pension and other postretirement remeasurement (gains) losses |
|
(93 |
) |
|
|
12 |
|
|
|
(0.35 |
) |
|
|
0.05 |
|
Amortization of purchased intangibles |
|
163 |
|
|
|
174 |
|
|
|
0.62 |
|
|
|
0.63 |
|
(Gain) loss on disposition |
|
(1 |
) |
|
|
(11 |
) |
|
|
(0.01 |
) |
|
|
(0.04 |
) |
Non-recurring costs (2) |
|
90 |
|
|
|
— |
|
|
|
0.34 |
|
|
|
— |
|
Income tax expense (benefit) |
|
(65 |
) |
|
|
(246 |
) |
|
|
(0.25 |
) |
|
|
(0.88 |
) |
Adjusted net income (loss) * (1) |
$ |
(1,504 |
) |
|
$ |
523 |
|
|
$ |
(5.72 |
) |
|
$ |
1.87 |
|
|
|
|
|
|
|
|
|
||||||||
Weighted average dilutive potential common shares excluded due to net loss applicable to common shareholders (1) |
|
|
|
|
|
2.1 |
|
|
|
3.5 |
|
_____________ |
||
(1) |
In periods where a net loss or adjusted net loss is reported, weighted average shares for basic earnings per share is used for calculating diluted earnings per share because all dilutive potential common shares are anti-dilutive and are therefore excluded from the calculation. |
|
(2) |
Relates to settlement costs for non-recurring litigation that is outside of the ordinary course of business. |
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 (loss) return on Allstate common shareholders’ equity.
($ in millions) |
For the twelve months ended
|
||||||
|
2023 |
|
2022 |
||||
Return on Allstate common shareholders’ equity |
|
|
|
||||
Numerator: |
|
|
|
||||
Net income (loss) applicable to common shareholders |
$ |
(2,723 |
) |
|
$ |
913 |
|
Denominator: |
|
|
|
||||
Beginning Allstate common shareholders’ equity |
$ |
18,094 |
|
|
$ |
25,774 |
|
Ending Allstate common shareholders’ equity (1) |
|
13,516 |
|
|
|
18,094 |
|
Average Allstate common shareholders’ equity |
$ |
15,805 |
|
|
$ |
21,934 |
|
Return on Allstate common shareholders’ equity |
|
(17.2 |
)% |
|
|
4.2 |
% |
($ in millions) |
For the twelve months ended
|
||||||
|
2023 |
|
2022 |
||||
Adjusted net income (loss) return on Allstate common shareholders’ equity |
|
|
|
||||
Numerator: |
|
|
|
||||
Adjusted net income (loss) * |
$ |
(2,266 |
) |
|
$ |
1,557 |
|
|
|
|
|
||||
Denominator: |
|
|
|
||||
Beginning Allstate common shareholders’ equity |
$ |
18,094 |
|
|
$ |
25,774 |
|
Less: Unrealized net capital gains and losses |
|
(2,140 |
) |
|
|
2,165 |
|
Adjusted beginning Allstate common shareholders’ equity |
|
20,234 |
|
|
|
23,609 |
|
|
|
|
|
||||
Ending Allstate common shareholders’ equity (1) |
|
13,516 |
|
|
|
18,094 |
|
Less: Unrealized net capital gains and losses |
|
(1,845 |
) |
|
|
(2,140 |
) |
Adjusted ending Allstate common shareholders’ equity |
|
15,361 |
|
|
|
20,234 |
|
Average adjusted Allstate common shareholders’ equity |
$ |
17,798 |
|
|
$ |
21,922 |
|
Adjusted net income (loss) return on Allstate common shareholders’ equity * |
|
(12.7 |
)% |
|
|
7.1 |
% |
_____________ |
||
(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. 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
|
|
Six months ended
|
||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||
Combined ratio |
117.6 |
|
|
107.9 |
|
|
113.1 |
|
|
102.7 |
|
Effect of catastrophe losses |
(22.6 |
) |
|
(10.2 |
) |
|
(18.6 |
) |
|
(7.3 |
) |
Effect of prior year non-catastrophe reserve reestimates |
(1.6 |
) |
|
(3.8 |
) |
|
(0.9 |
) |
|
(2.7 |
) |
Effect of amortization of purchased intangibles |
(0.5 |
) |
|
(0.5 |
) |
|
(0.5 |
) |
|
(0.5 |
) |
Underlying combined ratio* |
92.9 |
|
|
93.4 |
|
|
93.1 |
|
|
92.2 |
|
|
|
|
|
|
|
|
|
||||
Effect of prior year catastrophe reserve reestimates |
0.3 |
|
|
0.4 |
|
|
(0.1 |
) |
|
0.2 |
|
Allstate Protection - Auto Insurance |
Three months ended
|
|
Six months ended
|
||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||
Combined ratio |
108.3 |
|
|
107.9 |
|
|
106.4 |
|
|
105.0 |
|
Effect of catastrophe losses |
(4.2 |
) |
|
(1.5 |
) |
|
(2.7 |
) |
|
(1.0 |
) |
Effect of prior year non-catastrophe reserve reestimates |
(1.4 |
) |
|
(3.8 |
) |
|
(0.8 |
) |
|
(2.9 |
) |
Effect of amortization of purchased intangibles |
(0.5 |
) |
|
(0.5 |
) |
|
(0.5 |
) |
|
(0.6 |
) |
Underlying combined ratio* |
102.2 |
|
|
102.1 |
|
|
102.4 |
|
|
100.5 |
|
|
|
|
|
|
|
|
|
||||
Effect of prior year catastrophe reserve reestimates |
(0.2 |
) |
|
(0.5 |
) |
|
(0.3 |
) |
|
(0.3 |
) |
Allstate Protection - Homeowners Insurance |
Three months ended
|
|
Six months ended
|
||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
||||
Combined ratio |
145.3 |
|
|
107.5 |
|
|
132.3 |
|
|
95.9 |
|
Effect of catastrophe losses |
(75.9 |
) |
|
(35.6 |
) |
|
(63.9 |
) |
|
(25.6 |
) |
Effect of prior year non-catastrophe reserve reestimates |
(1.4 |
) |
|
(1.9 |
) |
|
(0.5 |
) |
|
(1.1 |
) |
Effect of amortization of purchased intangibles |
(0.4 |
) |
|
(0.5 |
) |
|
(0.3 |
) |
|
(0.4 |
) |
Underlying combined ratio* |
67.6 |
|
|
69.5 |
|
|
67.6 |
|
|
68.8 |
|
|
|
|
|
|
|
|
|
||||
Effect of prior year catastrophe reserve reestimates |
1.8 |
|
|
3.3 |
|
|
0.8 |
|
|
1.5 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20230801257437/en/
Al Scott
Media Relations
(847) 402-5600
Brent Vandermause
Investor Relations
(847) 402-2800
Source: The Allstate Corporation
FAQ
What were the consolidated revenues for The Allstate Corporation in Q2 2023?
What was the net loss applicable to common shareholders in Q2 2023?
What was the adjusted net loss in Q2 2023?
What was the increase in Property-Liability premiums written in Q2 2023?
What was the increase in Allstate Protection auto insurance premiums earned in Q2 2023?
What was the increase in Allstate Protection homeowners insurance premiums earned in Q2 2023?
What was the increase in Protection Services revenue in Q2 2023?