Allstate Announces Estimated January 2024 Catastrophe Losses Of $276M Or $218M, After-Tax, And Implemented Rates
Portfolio Pulse from Benzinga Newsdesk
The Allstate Corporation (NYSE:ALL) reported estimated catastrophe losses of $276 million for January 2024, with $218 million after-tax. The losses were mainly due to two events, offset by favorable reserve reestimates. Allstate has implemented rate increases for auto and homeowners insurance, expected to raise annualized written premiums by $363 million and $40 million, respectively. This has led to a 12.1% increase in homeowners insurance average gross written premium compared to the previous year.
February 15, 2024 | 2:10 pm
News sentiment analysis
Sort by:
Descending
NEUTRAL IMPACT
Allstate announced significant January 2024 catastrophe losses and implemented rate increases for auto and homeowners insurance, expected to positively impact annualized written premiums.
The reported catastrophe losses are significant, but Allstate's proactive rate increases in auto and homeowners insurance could mitigate the financial impact. The increase in premiums is expected to offset the losses to some extent, making the short-term impact on the stock neutral. The company's ability to adjust rates in response to loss trends demonstrates financial flexibility and strategic planning, which could be viewed positively by investors.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100