SEPOY.net
No Result
View All Result
Friday, July 18, 2025
  • Home
  • News
  • Business
  • Health
  • Tech
  • Lifestyle
  • Economy
  • Crypto
  • Travel
  • Home
  • News
  • Business
  • Health
  • Tech
  • Lifestyle
  • Economy
  • Crypto
  • Travel
No Result
View All Result
SEPOY.NET
No Result
View All Result
Home Business

Allstate, Progressive and more – how do they compare?

Nicholas by Nicholas
December 21, 2022
in Business
0
Allstate, Progressive and more – how do they compare?


Allstate, Progressive and more – how do they compare?

Credit ratings agency Fitch Ratings has just released its peer review of US personal line insurers. The study includes Allstate Insurance, Horace Mann Educators, Intact Financial, Mercury General, The Progressive Corporation, and Kemper Corporation.

READ ALSO

Alberta brokers sound the alarm on auto insurance availability 

Latest delay in Jasper’s rebuild has insurers calling for a disaster recovery agency

Driving the results was what Fitch called a ‘sharp deterioration’ in personal auto liability from ongoing higher litigation costs as well as severity issues. The loss ratio moved 11 points higher to 75% from the first nine months of the previous year, with even the historically stable physical damage segment registering an 80% direct loss ratio for 9M2022. Fitch chalked the latter loss ratio to supply chain shortages, high used-car prices, and the tight labor market.

Homeowners’ loss ratio remained at high levels at 76% for 9M2022, similar to the previous year.

The Fitch Ratings peer review noted that risk-adjusted capitalization was the key credit factor for this peer group of personal lines insurers, highly influencing each company’s rating. Their capital adequacy as measured against Fitch Ratings’ ‘prism’ capital model ranged from ‘strong’ to ‘extremely strong’ and scored at or better than the insurer financial strength (IFS) rating, except for Progressive Corporation.

The peer review noted that among personal line insurers, catastrophe risk was a big source of financial performance volatility, although most managed the risk well through reinsurance and by managing risk aggregations in catastrophe-prone areas. Personal lines insurers which principally underwrite auto business – of the six, Kemper and Progressive Corporation had the highest auto-to-home business ratio at 94.8% and 94.4% respectively – tended to have relatively low underwriting risk, giving them the advantage of higher levels of operating leverage. By contrast, the homeowners’ business generally required lower levels of operating leverage.

All six peers maintained leverage at the high end of the US property/casualty industry.

Generally, because of the short-tail nature of auto insurance products, personal auto insurers had investment portfolios consisting almost entirely of high-quality, short-duration, fixed-income investments. The Fitch Ratings peer review noted that among the analyzed personal line insurers, Allstate Insurance had the highest consolidated risky asset ratio. The six insurers generally maintained modest allocations to various risk assets.

Tags: Fitch peer reviewFitch Ratingspersonal line insurers

Related Posts

Alberta brokers sound the alarm on auto insurance availability 
Business

Alberta brokers sound the alarm on auto insurance availability 

July 17, 2025
Latest delay in Jasper’s rebuild has insurers calling for a disaster recovery agency
Business

Latest delay in Jasper’s rebuild has insurers calling for a disaster recovery agency

July 17, 2025
Which Ontario cities see the highest auto coverage hikes?
Business

Which Ontario cities see the highest auto coverage hikes?

July 17, 2025
Saskatchewan says 1,100 remain out of their homes as 49 fires rage in province
Business

Saskatchewan says 1,100 remain out of their homes as 49 fires rage in province

July 17, 2025
QuickFacts Partners with Red River Mutual to Support Broker Success Across the Prairies
Business

QuickFacts Partners with Red River Mutual to Support Broker Success Across the Prairies

July 17, 2025
FireSmart expands into New Brunswick
Business

FireSmart expands into New Brunswick

July 16, 2025
Next Post
Macy’s New York in the Background

Macy’s New York in the Background

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

About

Sepoy.net is a perfect place for people who want daily updates on news related to business, technology, entertainment, health, cryptocurrency etc.

Contact: hello@sepoy.net

Major Categories

News

Business

Tech

Economy

 

Recent Posts

  • $5847 in the No-deposit Local casino Incentives $3152 The newest within the Sizzling Hot strategy slot free spins July 2025
  • Luck Gold coins Application: Start To tackle On your Phone Which have nv casino Luck Gold coins Gambling establishment Application
  • Best online casinos inside 2025 Top ten real cash gambling enterprise sites to possess huge payouts

Pages

  • About Us
  • Contact Us
  • Disclaimer
  • DMCA
  • Home
  • Privacy Policy

© 2023 Sepoy.net

No Result
View All Result
  • Home
  • Business
  • News
  • Health
  • Tech
  • Science
  • Lifestyle
  • Travel

© 2023 Sepoy.net