According to a company statement, Allstate Corp. reported an estimated $587 million in pretax catastrophe losses from 20 events in July.
The company estimated initial losses of $226 million due to Hurricane Beryl. Allstate is the second-largest homeowners and third-largest automobile insurer in Texas. The company faced significant impact when Beryl made landfall as a Category 1 storm on July 8.
In a report by BestWire, Verisk's Extreme Event Solutions group estimated that U.S. onshore wind property losses from Beryl would range somewhere between $2 billion and $3 billion.
Allstate also said that its total pretax catastrophe losses for the month, including reserve reestimates, could reach $542 million.
The carrier made a significant recovery during the second quarter, as it garnered a net income of $310 million. Allstate reportedly had a $1.39 billion net loss in the same period last year. The company's underwriting loss narrowed to $145 million, down from $2.09 billion, and catastrophe losses declined by 21.4% to $2.12 billion.
According to BestLink, the five largest writers of homeowners' multi-peril coverage in Texas, based on direct premiums written in 2023, were:
Underwriting entities of Allstate Corp. currently have a Best’s Financial Strength Rating of A+ (Superior) to B (Fair).
Shares of Allstate (NYSE: ALL) traded on the afternoon of Aug. 15 at $178.45, down 1.34% from the previous close.
Headquartered in Glenview, Illinois, Allstate Corporate is an American insurance company founded in 1931 as part of Sears, Roebuck and Co. The company offers auto, home, life, and retirement products and services to customers in the United States.
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