Allstate Corporation
Summary
- Allstate Corporation is an American insurance company
- Allstate Corporation is the largest publicly traded property casualty insurance company in the United States.
- Allstate had approximately 54,000 full-time employees and 500 part-time employees.
Allstate Corporation (NYSE: ALL) is an American insurance company that offers a wide range of insurance products, including auto, home, life, and health insurance. It is the largest publicly traded property casualty insurance company in the United States, with over 100 million customers in the United States and Canada.
Financial Highlights
First Quarter 2023 Results
May 3, 2023 – The Allstate Corporation reported financial results for the first quarter of 2023.1
Total revenues of $13.8 billion in the first quarter of 2023 increased 11.8% compared to the prior year quarter driven by a 10.8% increase in Property-Liability earned premium and net gains on investments and derivatives in the first quarter of 2023 compared to a net loss in 2022.
Net loss applicable to common shareholders was $346 million in the first quarter of 2023 compared to income of $634 million in the prior year quarter. The decrease was driven by an underwriting loss primarily due to higher catastrophe losses. Adjusted net loss was $342 million, or $1.30 per diluted share, in the first quarter of 2023, compared to adjusted net income of $730 million in the prior year quarter.
Property-Liability earned premium of $11.6 billion increased 10.8% in the first quarter of 2023 compared to the prior year quarter, driven primarily by higher average premiums. The $1.0 billion underwriting loss reflects higher catastrophe losses across lines and higher non-catastrophe losses primarily for auto insurance.
Protection Services revenues increased to $671 million in the first quarter of 2023, 7.0% 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 $34 million decreased by $19 million compared to the prior year quarter, primarily due to higher claim severity and growth investments at Allstate Protection Plans.
Company Overview
The Allstate Corporation was incorporated under the laws of the State of Delaware on November 5, 1992, to serve as the holding company for Allstate Insurance Company. Its business is conducted principally through Allstate Insurance Company and other subsidiaries. As of December 31, 2022, Allstate had approximately 54,000 full-time employees and 500 part-time employees.2
Allstate Protection Segment
Allstate Protection segment accounted for 92.0% of Allstate’s 2022 consolidated insurance premiums and contract charges and 20.4% of Allstate’s December 31, 2022 PIF. Private passenger auto, homeowners, other personal lines and commercial insurance products offered through both exclusive and independent agents and directly through contact centers and online are included in this segment. The company's strategy is to offer products that allow customers to interact with it when, where and how they want with affordable, simple and connected protection products.
Protection Services Segment
The company's Protection Services segment accounted for 4.8% of Allstate’s 2022 consolidated total revenue and 77.3% of Allstate’s December 31, 2022 PIF. Protection Services includes AllstateSM Protection Plans, Allstate Dealer Services®, Allstate Roadside, Arity® and AllstateSM Identity Protection, which offer a broad range of products and services that expand and enhance customer value propositions.
Allstate Health and Benefits Segment
Allstate Health and Benefits offers employer voluntary benefits, group health and individual health products, including life, accident, critical illness, hospital, short-term disability and other health products. Allstate Health and Benefits results include National General’s accident and health business, starting in the first quarter of 2021. Results prior to 2021 reflect historical Allstate Benefits results only.
In 2022, Allstate Health and Benefits represented 2.3% of total PIF. The company's target customers are middle market consumers with family and financial protection needs.
Company History
The first policy insured a 1930 Studebaker at $41.60 for the year. Allstate launched on April 17, 1931.3
- 1931: Allstate is founded by Carl L. Block and Thomas J. Stanley in Northbrook, Illinois. The company's first policy is issued to a 1930 Studebaker for $41.60 for the year.
- 1933: Allstate opens its first branch office in Chicago.
- 1940: Allstate introduces the "Good Hands" symbol, which becomes one of the most recognized trademarks in the world.
- 1952: The Allstate Foundation is founded.
- 1954: Allstate introduces the "You're in Good Hands" advertising campaign.
- 1960: Allstate becomes a publicly traded company.
- 1970: Allstate introduces the "Claims Paying Ability" guarantee.
- 1980: Allstate introduces the "Accident Forgiveness" program.
- 1990: Allstate introduces the "Drivewise" program, which uses telematics to track driving behavior and reward safe drivers.
- 2000: Allstate introduces the "Allstate Mobile App" for smartphones and tablets.
- 2010: Allstate introduces the "Allstate Drive Assist" program, which provides roadside assistance and other services to drivers.
- 2020: Allstate introduces the "Allstate Smart Home" program, which offers discounts to customers who install smart home devices.
