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Effective midnight tonight, Allstate now gets swallowed up in the CA fiasco.
Allstate to Pause New Homeowners Business in California
The fourth largest U.S. carrier has told agents it will temporarily stop offering new homeowners policies in California and plans to stop offering new commercial business in the Golden State and four others in 2023.
By Eva Thomas, Varada Bhat|November 1, 2022
Beginning Nov. 2, Allstate will pause new business for homeowners insurance in the country’s most populous state, California, according to an internal memo to its agents that was viewed by P&C Specialist. The memo, however, said homeowners and condo insurance would continue to be offered through its subsidiaries Ivantage and North Light Specialty Insurance Co.
In addition, the No. 4 carrier said in the memo that Allstate Business Insurance would stop accepting new business in California, Florida, Louisiana, New York and New Jersey from Jan. 1, 2023. The action is in “response to industry-wide cost pressures,” according to the memo. From Jan. 1, Ivantage will be used to quote commercial business.
It was not known whether the memo was sent to the company's independent agents.
Allstate did not immediately respond to a request seeking comment.
Ivantage is an insurance brokerage and North Light offers non-admitted coverage. According to a report from S&P Global Market Intelligence earlier this year, North Light wrote $44 million in E&S premiums in California in 2021.
The memo follows other actions taken by Allstate in the Golden State. In July, Allstate restricted business in California and reportedly told agents they would not be allowed to write new homeowners policies in certain zip codes across the state. In August, the Northbrook, Illinois-based personal lines giant paused all personal new policy sales for branded personal lines products through independent agents in California, as reported.
Allstate to Pause New Homeowners Business in California
The fourth largest U.S. carrier has told agents it will temporarily stop offering new homeowners policies in California and plans to stop offering new commercial business in the Golden State and four others in 2023.
By Eva Thomas, Varada Bhat|November 1, 2022
Beginning Nov. 2, Allstate will pause new business for homeowners insurance in the country’s most populous state, California, according to an internal memo to its agents that was viewed by P&C Specialist. The memo, however, said homeowners and condo insurance would continue to be offered through its subsidiaries Ivantage and North Light Specialty Insurance Co.
In addition, the No. 4 carrier said in the memo that Allstate Business Insurance would stop accepting new business in California, Florida, Louisiana, New York and New Jersey from Jan. 1, 2023. The action is in “response to industry-wide cost pressures,” according to the memo. From Jan. 1, Ivantage will be used to quote commercial business.
It was not known whether the memo was sent to the company's independent agents.
Allstate did not immediately respond to a request seeking comment.
Ivantage is an insurance brokerage and North Light offers non-admitted coverage. According to a report from S&P Global Market Intelligence earlier this year, North Light wrote $44 million in E&S premiums in California in 2021.
The memo follows other actions taken by Allstate in the Golden State. In July, Allstate restricted business in California and reportedly told agents they would not be allowed to write new homeowners policies in certain zip codes across the state. In August, the Northbrook, Illinois-based personal lines giant paused all personal new policy sales for branded personal lines products through independent agents in California, as reported.