Allstate suffers major disaster hit | Insurance business America
Two events account for approximately 80% of the losses
Disaster and flood
By Terry Gangcuangco
Allstate has released its catastrophe loss estimates for January.
In a press release, the insurance giant said: “Allstate Corporation announced estimated catastrophe losses of $276 million, or $218 million after taxes, for the month of January.”
“January’s estimated catastrophe losses of $325 million were driven primarily by two events, which accounted for approximately 80% of losses, partially offset by favorable reestimates of reserves for prior events.”
In the same announcement, Allstate reiterated its continued commitment to rate increases as part of the company’s plan to improve underwriting profits.
Chief Financial Officer Jess Merten noted, “In January, rate increases for Allstate-branded auto insurance resulted in a premium impact of 1.4%, which is expected to increase annual written premiums by approximately $363 million, as well as rate increases for Allstate-branded homeowners. “ Insurance has resulted in a premium impact of 0.3%, which is expected to increase annual written premiums by approximately $40 million.
“Enforced rate increases and inflation in insured home replacement costs resulted in a 12.1% year-over-year increase in the average gross written homeowners insurance premium in January 2024.”
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2024-02-16 11:16:12
www.insurancebusinessmag.com
