Allstate Insurance Companies

Insurance Company Review

Allstate Insurance Company

Company Rating:

Best Insurance Reports: A+

Type of Insurance Company: Stock

Name of Parent Company:

Allstate Insurance Group

Insurance Subsidiaries:

Allstate Insurance Company of Canada

Allstate Fire and Casualty Insurance Company

Allstate Life Insurance Company

American Heritage Life Insurance Company

Esurance

Encompass Insurance Company

Company Overview:

Company History: Allstate was originally founded in 1931 by Sears Roebuck. In the 1980's shares of Allstate were distributed to Sears' Shareholders. Allstate became a publicly traded company in 1993.Allstate's general sales manager Davis W. Ellis created the company's "You're in Good Hands with Allstate" slogan in 1950. At the end of 2013, Allstate's total assets equaled out to 123.5 billion dollars. In 2014 Allstate ranked number 92 on the Fortune 500 list as it is the third largest U.S. personal lines insurer. The Allstate Corporation was incorporated under the laws of the State of Delaware on November 5, 1992 to serve as the holding company for Allstate Insurance Company. 

Principle Sales Methods: Allstate sells insurance through career agents and independent insurance agents, the Internet, and direct call centers.

Allstate has a multiple channel alternative distribution system utilizing financial institutions (banks), independent agents, brokers, broker-dealers, the internet and telephone sales.

Life Annuity Business: Allstate Financial, previously known as Allstate Life, offers life insurance, savings and investment products as well as pension products through agents and alternative distribution channels. Allstate financial sells life/accident/health insurance products. Beginning January 1, 2014, the Company stopped offering fixed annuities. 

Auto Business: Allstate is the 3rd largest automobile insurance company in the United States. Allstate features products such as Allstate Your Choice Auto which includes options such as accident forgiveness, safe driving deductible rewards and a safe driving bonus. They also offer a Claim Satisfaction Guarantee that ensures a return of premium to customers who are not satisfied with their claims experience. The Drivewise program (currently available in 30 states)

grants discounts and bonuses based on driving performance. 

Homeowners Business: Allstate Protection mainly sells private passenger auto and homeowners insurance in the United States and Canada. 

Company Financial Status:

Ticker Symbol: ALL

Assets & Premiums: Allstate Insurance Group is primarily a national insurance company specializing in automobile and homeowner insurance. It also sells life insurance, annuities and personal financial products. It has a subsidiary that provides banking services.

Premiums and income has been steadily increasing for five years, but more from price increases than from acquiring new customers. The company has over $47 billion dollars in assets. Capitalization has gone up and down because the parent company often takes dividends and because of underwriting and investment losses. Leverage is reasonable with approximately 22% of capital represented in debt and preferred stock as of December, 2004.

In 2005, Allstate took a major hit from gulf hurricanes ($5.8 billion in losses). However, while profit and return on equity were down other financial indicators seem to have remained fairly steady. This is the nature of property casualty insurance. It is a sign of a strong company that singificant losses do not cause extensive financial distress.

Lines of Insurance:

Auto, Life, Homeowners

States licensed to sell insurance in:

AL, AK, AZ, AR, CA, CO, CT, DE, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, VI, WA, WV, WI, WY, CANADA

Company Contact Info:

President and Chief Executive Officer   Don Civgin

2775 Sanders Road

Northbrook, IL 60062-7127

847-402-5000