Allstate Announces May Catastrophe Loss Estimate

Allstate Announces May Catastrophe Loss Estimate

Allstate Announces May Catastrophe Loss Estimate

The FINANCIAL -- The Allstate Corporation on June 18 announced estimated catastrophe losses for the month of May 2015 of $178 million, pre-tax ($116 million after-tax).

Catastrophe losses occurring in May comprised 8 events at an estimated cost of $180 million, pre-tax, partially offset by decreased reserve reestimates of prior reported catastrophe losses. Four severe weather events accounted for over 77% of the estimated catastrophe losses for May events. Approximately 30% of the May catastrophe losses were related to auto claims due to large rain events accompanied by heavy flooding. Historically auto claims comprise approximately 15% of catastrophe losses in the second quarter, according to Allstate.

Allstate previously announced $273 million, pre-tax ($177 million after-tax), in estimated catastrophe losses for the month of April 2015, bringing estimated catastrophe losses for the second quarter months of April and May 2015 to $451 million, pre-tax ($293 million after-tax).