Allstate
-
The carrier will hand $600mn in premiums back to auto customers to reflect the decline in driving due to the Covid-19 crisis. -
The S&P 500 insurance industry index rose by 2.8 percent as lawmakers neared a vote on a coronavirus economic relief package.
-
Allstate shares shrink 5.3 percent, while Axis shares lose almost 5 percent of their market value.
-
The carrier said claims would be partially offset by favourable prior year development.
-
Allstate’s growth strategy involves merging its Esurance and Encompass brands into Allstate’s.
-
Key takeaways include continued benign frequency and long-term ROE guidance ranges from 14-17 percent.
-
The American insurer also takes a $51mn pre-tax charge from the phase-out of its Esurance brand.
-
The brand’s retirement slated for next year is emblematic of a broader shift in InsurTech.
-
Losses arise from four events plus reserve re-estimates.
-
Allstate earlier this month said it would look to grow its shared economy portfolio over time.
-
National General reported an operating EPS of $0.59 per share, missing analyst estimates by 9%, sending shares down 10% after hours
-
Farmers Insurance reviews its options, while Allstate predicts a potential expansion of partnerships of transport network companies.
