Allstate Announces August 2023 Catastrophe Losses

Allstate today announced estimated catastrophe losses for the month of August of $551 million or $435 million, after-tax.

Source: Allstate | Published on September 21, 2023

Allstate catastrophe losses
Allstate today announced estimated catastrophe losses for the month of August of $551 million or $435 million, after-tax.

August month catastrophe losses include 18 events estimated at $641 million, with approximately half of the losses related to the Maui wildfire, partially offset by favorable reserve re-estimates for prior events. Total catastrophe losses for July and August were $864 million, pre-tax.

During the month of August, the Allstate brand implemented auto rate increases of 7.0% across 5 locations, resulting in total brand premium impact of 0.2%.

“Allstate continued to implement significant auto and homeowners insurance rate actions as part of our comprehensive plan to improve profitability. Since the beginning of the year, rate increases for Allstate brand auto insurance have resulted in a premium impact of 8.6%, which are expected to raise annualized written premiums by approximately $2.23 billion. Implemented rate increases and inflation in insured home replacement costs resulted in a 13.2% increase in homeowners insurance average gross written premium in August 2023 compared to the prior year,” said Jess Merten, Chief Financial Officer of The Allstate Corporation. Our implemented rate exhibit for auto and homeowners insurance has been posted on allstateinvestors.com.