California Insurance Shake-Up: Allstate Ends New Home, Condo and Commercial Policies
Portfolio Pulse from Anusuya Lahiri
Allstate Corp has stopped selling new home, condo, and commercial insurance policies in California, citing worsening climate and higher building costs. This follows a similar decision by State Farm last week. The combined moves may lead more property owners to rely on the FAIR Plan.
June 05, 2023 | 4:54 pm
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Allstate has ceased selling new insurance policies in California due to climate and building costs, potentially affecting its market share and revenues.
Allstate's decision to stop selling new insurance policies in California is a direct response to worsening climate and higher building costs. This move may lead to a decrease in market share and revenues for the company, as property owners may turn to alternative insurance providers or the FAIR Plan. As a result, this news is likely to have a negative short-term impact on Allstate's stock price.
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