@nadine777 Allstate’s rates are competitive in comparison to other large carriers but they have the worst customer service I’ve ever encountered. I had an Allstate policy for all of two days.
@resjudicata My apologies for WA being a bunch of overcharging bastards. I'm definitely seeing that from the agency side, and also from the "I'm putting a 300sf addition on my house" end.
Also, I just bought an electric car. So that's fun. That's also way overpriced, but we didn't really have a great other-option. So... overpriced electric car it is.
@spencer5150 Yea, Allstate agents are really going through it right now. No property to write, 50% down on New business AND renewals now too. Allstate is trying to trim the books basically through pain at this point because they can't get the rate they are asking for by the state's DOI. Other companies will continue to follow if Cali doesn't get it's act together.
@spencer5150 Yea for sure, but 6% ain't going to be anywhere close to what they need to get their losses under control. Probably needed closer to 30%. Hopefully the DOI allows for more rate to be taken soon, and stop insurance companies from doing all this crap and get back to some semblance of balance.
@kingspal1 I think that’s exactly what’s gonna happen. Everyone has multiple 6.9% requests sitting on a desk waiting for that mysterious timing the day after the election. I think all of us are concerned with multiple rate approvals firing off back to back, getting them the 20-30% they need, and consumers freaking out starting in January.
@spencer5150 Exactly. It's going to be tough for sure. As most states have been able to do 1-2 rate increases as they have needed, it's painful enough, but California is going to have to go crazy next year with rate.
@spencer5150 I am a retired California Allstate property adjuster. This is not the first time Allstate has paused selling homeowners insurance. I can’t remember dates but there was no selling of new homeowners policies for over 5 years in California. They told us it was because of fire exposure after an earthquake. We were actually shocked when they started to sell again. They pushed new policies to their subsidiaries. We got really quiet claimwise and they moved a lot of people to auto at the time. Now it doesn’t matter because it’s all centralized. So this isn’t the end of Allstate in California. They don’t want to lose the auto business.
@digitalinchrist Concurrent Causation - gosh I remember those days on claims too lol. But you’re absolutely right they stopped homeowners for quite awhile so it’s nothing new. I can’t imagine they want to lose auto completely, but with such a high combined loss ratio something has to give. Every single one of us is suffering, and every day it seems like another carrier buckles.
@spencer5150 ouch! CA is is getting tougher and tougher. I don't know how their department of insurance expects carriers to stay profitable without raising rate, especially during hyper inflationary times like this.
We have lots of agencies in CA but the successful ones all market out of state, and many of them write commercial lines.
Its an uphill battle being a personal lines only CA agent.
@spencer5150 Since nobody else brought it up... This could be pre-emptive of Allstate rolling out their new Connect 360 policy program. It will incorporate Allstate, Encompass, and Nat Gen.
They could be stopping offering the Allstate product (which is garbage), in anticipation of their new policy.
So.... It might not be entirely bad news. The article doesn't say that they're non-renewing policies, so it's not like they're completely pulling out of those states yet.
