Allstate Reveals Catastrophe Losses | Insurance business America
Disaster and flood
By Kenneth Araullo
Allstate Corporation announced its estimated catastrophe losses for March, totaling $328 million before taxes and $259 million after taxes.
The company said these losses were due to six significant events, with a large hail event accounting for approximately 80% of losses in March. These figures were partially offset by favorable reserve reassessments related to prior events.
Allstate also reported that total catastrophe losses in the first quarter were $731 million before taxes.
In terms of pricing adjustments, Allstate implemented rate increases for its auto insurance, impacting premiums by 0.9% in March and 2.4% year to date. Likewise, homeowners’ insurance premiums increased, impacting premiums by 0.7% for the month and 3.4% for the year to date.
Rate increases, coupled with inflation in insured home replacement costs, caused the average gross written homeowners insurance premium to increase 11.9% in March 2024 compared to the same period last year.
Comparison with February figures
In its February report, the insurance giant noted: “Allstate Corporation announced that estimated catastrophe losses were below the reporting threshold of $150 million for February 2024.”
That same month, rate increases for Allstate-branded auto insurance resulted in a premium impact of 0.1% and 1.5% year-to-date. Likewise, rate increases for Allstate-branded homeowners insurance resulted in a premium impact of 2.4% in February and 2.7% year-to-date.
Additionally, implemented rate increases coupled with inflation in insured home replacement costs contributed to a 12.4% year-over-year increase in the average gross written homeowners insurance premium in February 2024.
A new study from insurance giant Allstate found that customers who use the Drivewise feature in the insurer’s app exhibit significantly safer driving habits.
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2024-04-19 14:03:33
www.insurancebusinessmag.com
