Considering how much the Allstate suits love to pin their failures on "catastrophes" We are looking at their pi-s poor excuse for the billions lost in 3rd quarter.
The only "catastrophe" impacting Allstate is Wilson, Rizzo, Parsons, and Transformative Growth.
Born losers and failures. Zero confidence from your employees, investors, and customers.
Resign!
Bruh, we have to report cat losses exactly as they are incurred. No way to fib about that one. The street would see through it in seconds.
To avoid major catastrophic losses you need to avoid adverse selection. Your risks must be spread out geographically and demographically.
We woulda made money if there wasn’t a hurricane. …. We would won the game if the other team didnt score so many touchdowns.
You need volume to continue insuring high risk areas. Today (20230829) there was a section on NPR saying how something like 22% of ppl who own their homes are foregoing insurance due to economic issues.
Trends such as those and a worsening climate are throwing a sabot into predictions.
LOL, I thought insurance companies were "experts" and risk management - if you live in a flood zone, if you live on a coast, tornado prone area - here's your rate... what's changed with that approach? I'm pretty sure the folks in the trenches know what to do and how to do it... Looks like the folks who steer the ship may have made more than a few bad decisions. Perhaps in large asian investments?