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ALLSTATE CORP 8-K Report, Financial Results (Apr 18, 2024)

Reports
Earnings & Results·Exhibits & Filings
Filing Date
Filed April 18, 2024
Period End
April 18, 2024
In the record · 2016–202610-K1110-Q328-K240

ALL filed 11 annual reports (10-K), 32 quarterly reports (10-Q) and 240 current reports (8-K) between 2016 and 2026.

  1. Material agreement8-K · Nov ’16Nov ’16
  2. Deal closed8-K · Jan ’21Jan ’21
  3. Leadership change8-K · Aug ’22Aug ’22
  4. Leadership change8-K · Jul ’26Jul ’26

01—Abstract

Summary

Summary of the 8-K filed April 18, 2024. Cited figures are marked; the original filing is the authoritative source.

Allstate Corporation (NYSE: ALL) furnished an 8-K on April 18, 2024, under Item 2.02 (Results of Operations and Financial Condition) with two exhibits: a press release announcing preliminary March and first-quarter 2024 catastrophe losses and implemented rates, and an implemented rate exhibit for March 2024.

Per the filing, both exhibits are furnished rather than filed, so they are not subject to the liability provisions of Section 18 of the Exchange Act. The filing reports estimated March catastrophe losses of $328 milliona pre-tax ($259 million after-tax), and total first-quarter catastrophe losses of $731 million pre-tax. Six March events totaled $343 million pre-tax ($271 million after-tax), with roughly 80% attributable to a single hail event, partly offset by favorable reserve reestimates on prior events.

On pricing, the filing shows continued rate increases across Allstate brand and National General products. Allstate brand auto rates had a 0.9%b premium impact in March and 2.4% year-to-date, while Allstate brand homeowners rates had a 0.7% impact in March and 3.4% year-to-date. Average homeowners gross written premium rose 11.9% year over year in March 2024, reflecting both rate increases and higher insured home replacement costs.

The exhibit also shows Allstate brand auto rate increases of $290 millionc in March and $685 million quarter-to-date, following $1.81 billion in the fourth quarter of 2023 and $517 million in the third quarter of 2023. For investors, the key takeaways are that catastrophe exposure in the quarter was concentrated in a single hail event, and that management is pursuing meaningful rate increases in auto and homeowners to offset loss costs. The filing is a limited disclosure that does not include full financial statements or a complete earnings report, so investors should review Allstate's quarterly results and the Form 10-Q for a complete picture of earnings, reserves, and the adequacy of pricing.

02—Key points

Key Highlights

  1. March 2024 estimated catastrophe losses were $328 million pre-tax ($259 million after-tax), and first-quarter 2024 catastrophe losses totaled $731 million pre-tax.
  2. Approximately 80% of March catastrophe losses came from one hail event, partially offset by favorable reserve reestimates on prior events.
  3. Allstate brand auto rate increases contributed a 0.9% premium impact in March and 2.4% year-to-date; homeowners contributed 0.7% in March and 3.4% year-to-date.
  4. Average homeowners gross written premium increased 11.9% year over year in March 2024, driven by implemented rate increases and higher insured home replacement costs.
  5. Allstate brand auto implemented rate increases totaled $290 million in March and $685 million quarter-to-date, versus $1.81 billion in Q4 2023 and $517 million in Q3 2023.
  6. National General showed a 4.1% year-to-date auto premium impact from rate changes and a 1.6% year-to-date homeowners impact, with homeowners location-specific rate increases of 14.0%.
  7. The exhibits are furnished under Item 2.02 rather than filed, and the filing includes no full financial statements or earnings results.

03—Questions

Frequently Asked Questions

  1. How large were Allstate's catastrophe losses in March and the first quarter of 2024?

    The filing estimates March 2024 catastrophe losses at $328 million pre-tax ($259 million after-tax). Total first-quarter 2024 catastrophe losses were $731 million pre-tax. Six events in March totaled $343 million pre-tax before favorable reserve reestimates on prior events.

  2. What drove the March catastrophe losses?

    Approximately 80% of the March catastrophe losses related to a single hail event. This was partially offset by favorable reserve reestimates on prior events.

  3. Is Allstate raising prices on auto and homeowners insurance?

    Yes. Allstate brand auto rate increases had a 0.9% premium impact in March and 2.4% year-to-date. Homeowners rate increases had a 0.7% impact in March and 3.4% year-to-date. Average homeowners gross written premium rose 11.9% year over year in March, which reflects both rate changes and higher insured home replacement costs.

  4. Are the attached exhibits considered filed for legal purposes?

    No. The filing states that Exhibits 99.1 and 99.2 are furnished, not filed, under Instruction B.2 of Form 8-K. As a result, they are not subject to the liability provisions of Section 18 of the Exchange Act, though they are posted on allstateinvestors.com.

  5. Does this filing provide a full picture of Allstate's financial performance?

    No. This 8-K covers only preliminary catastrophe losses, implemented rate impacts, and a rate exhibit. It does not include full financial statements, earnings per share, or reserve analysis, so investors should consult Allstate's quarterly earnings releases and Form 10-Q for complete results.

04—Continue

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