01—Abstract
Summary
Summary of the 8-K filed April 17, 2025. Cited figures are marked; the original filing is the authoritative source.
Allstate (NYSE: ALL) released its March 2025 monthly update on April 17, 2025, furnished under Regulation FD (Item 7.01) and not filed.
The headline figure is March catastrophe losses of $1.04 billiona pre-tax ($818 million after-tax), driven mainly by 11 events, with roughly 80% of the losses tied to four geographically widespread wind and hail events. Allstate expects to recover about $123 million from its annual aggregate reinsurance cover, because March losses exceeded the retention level for the risk period ending March 31, 2025. That recovery reduces the reported March catastrophe losses.
First-quarter 2025 catastrophe losses totaled $2.20 billionb pre-tax, or $1.74 billion after-tax. For investors, this is the key number to track against underwriting results, since catastrophe losses are a major source of volatility in property insurers' earnings. The reinsurance recovery is an important mitigating factor, though it is an estimate and not yet a realized cash receipt.
Policy counts were broadly stable. Total Allstate Protection policies in force reached 37.712 million at March 31, 2025, up 0.6%c from February 2025 and up 0.1% year over year.
Homeowners grew 2.5%d year over year, while auto policies declined 0.4% year over year, and commercial lines fell 30.8% year over year, indicating a managed run-off or repositioning in that segment. The filing contains no changes to guidance, no new financial statements, and no material events beyond the monthly operating release.
02—Key points
Key Highlights
- March 2025 catastrophe losses were an estimated $1.04 billion pre-tax ($818 million after-tax) across 11 events, with about 80% from four widespread wind and hail events.
- Allstate expects approximately $123 million in reinsurance recoveries after exceeding the retention level of its annual aggregate cover for the period ending March 31, 2025, which reduces reported March losses.
- First-quarter 2025 catastrophe losses totaled $2.20 billion pre-tax ($1.74 billion after-tax).
- Total Allstate Protection policies in force were 37.712 million at March 31, 2025, up 0.6% from February 2025 and up 0.1% year over year.
- Homeowners policies grew 2.5% year over year to 7.549 million, while auto policies declined 0.4% year over year to 25.100 million.
- Commercial lines policies fell 30.8% year over year to 189 thousand, signaling a deliberate reduction in that segment.
- The disclosure was furnished under Regulation FD (Item 7.01) and not filed, so it is not subject to the liability standards of filed reports.
03—Questions
Frequently Asked Questions
How large were Allstate's catastrophe losses in March 2025 and in the first quarter?
March 2025 catastrophe losses were an estimated $1.04 billion pre-tax, or $818 million after-tax. First-quarter 2025 catastrophe losses totaled $2.20 billion pre-tax, or $1.74 billion after-tax.
Will the reinsurance recovery reduce Allstate's losses?
Yes. Allstate surpassed the retention level of its annual aggregate reinsurance cover for the period ending March 31, 2025, and expects recoveries of about $123 million. These recoveries reduce the reported March catastrophe losses. The figure is an estimate and remains subject to final settlement.
What were the main drivers of March catastrophe losses?
The losses came from 11 separate events, and roughly 80% were attributable to four geographically widespread wind and hail events.
How did Allstate's policy count trend?
Total policies in force were 37.712 million at March 31, 2025, up 0.6% from February 2025 and up 0.1% from March 2024. Homeowners grew 2.5% year over year, auto declined 0.4%, and commercial lines fell 30.8%.
Does this filing change Allstate's financial guidance or results?
No. The filing is a monthly operating release covering catastrophe losses and policies in force. It does not include audited financial statements, changes to guidance, or new financial statements.
04—Continue