Financial Data and Key Metrics Changes - Total revenues increased to $17.3 billion for the fourth quarter and $67.7 billion for the year [4] - Net income applicable to common shareholders was $3.8 billion for the quarter and $10.2 billion for the year [4] - Adjusted net income was $3.8 billion, or $14.31 per common share for the fourth quarter, and $9.3 billion for 2025, $34.83 per share [4] Business Line Data and Key Metrics Changes - Premiums earned increased 4.4% in auto insurance and 15% in homeowners insurance [17] - Auto policy growth was 2.3% and homeowners policy growth was 2.5% [17] - The auto combined ratio improved by 10 points compared to the prior year, while the homeowners insurance combined ratio was 84.4 [17][21] Market Data and Key Metrics Changes - The Protection Services segment grew policies in force by 3.3% to 172 million, while revenue increased 11.7% to $3.3 billion for the year [15] - Domestic revenue in the Protection Services segment increased 8.1% over the prior year quarter, while international revenue increased 39.7% [15] Company Strategy and Development Direction - Allstate's strategy focuses on increasing personal property-liability market share and expanding protection provided to customers [3] - The Transformative Growth initiative has lowered expenses and improved pricing models, allowing for competitive pricing [11] - New products like Affordable, Simple, Connected auto insurance are being rolled out to enhance customer value [12] Management's Comments on Operating Environment and Future Outlook - Management emphasized the need for regulatory changes to improve affordability for consumers, particularly regarding bodily injury claims [8][28] - The company is optimistic about its competitive position in both auto and homeowners insurance markets, citing growth potential [33] - Management highlighted the importance of maintaining strong underwriting performance and cost control to support future profitability [19][21] Other Important Information - Allstate returned $2.2 billion to shareholders through dividends and share repurchases in 2025, with a new $4 billion share repurchase program announced [24] - The company has increased its quarterly stock dividend by 8% to $1.08 per share [24] Q&A Session Summary Question: Regulatory and legislative changes regarding rate relief - Management acknowledged the complexity of predicting regulatory changes but expressed hope for improvements in affordability through legislative action [27][28] Question: Competitive landscape in auto and home insurance - Management noted that competition remains strong, with key players like Progressive, GEICO, and State Farm, but emphasized Allstate's differentiated products and pricing strategies [31][32] Question: Impact of legacy policies on auto PIF - Management confirmed that the reported figures include inactive brands and are focused on overall growth, not just active brands [44][45] Question: New business penalty trends - Management indicated that increased pricing sophistication has reduced the new business penalty, allowing for better profitability [54][56] Question: Growth in independent agents channel - Management highlighted significant growth in both direct and independent agent channels, driven by the Transformative Growth initiative [58][60] Question: Autonomous driving technology impact - Management views autonomous driving as a long-term trend that could reduce frequency of accidents but may increase severity due to higher repair costs [68][70]

Financial Data and Key Metrics Changes - Total revenues increased to $17.3 billion for Q4 2025 and $67.7 billion for the year, with net income applicable to common shareholders at $3.8 billion for the quarter and $10.2 billion for the year [4] - Adjusted net income was $3.8 billion, or $14.31 per common share for Q4, and $9.3 billion, or $34.83 per share for 2025, compared to $1.9 billion in 2024 [4] - The primary drivers of increased income included better underwriting losses, lower catastrophes, and reserve releases from prior years [4] Business Line Data and Key Metrics Changes - The Property-Liability business generated strong results, with premiums earned increasing by 4.4% in auto insurance and 15% in homeowners insurance [15] - Auto policy growth was 2.3% and homeowners policy growth was 2.5%, with the auto combined ratio improving by 10 points compared to the prior year [15] - Homeowners insurance recorded a combined ratio of 84.4, reflecting strong underlying performance and lower catastrophe losses [16] Market Data and Key Metrics Changes - The protection services segment grew policies in force by 3.3% to 172 million, with revenue increasing by 11.7% to $3.3 billion for the year [13] - Domestic revenue in the protection services segment increased by 8.1% year-over-year, while international revenue surged by 39.7% [14] - The auto insurance growth accelerated geographically, with 20 states growing policies by at least 4% and representing over 70% of countrywide written premium [18] Company Strategy and Development Direction - The company aims to increase personal property-liability market share and expand customer protection, focusing on affordability and operational excellence [3] - The Transformative Growth initiative has reduced the adjusted expense ratio by 6.6 points since 2018, allowing for competitive pricing while maintaining margins [10] - New products like the Affordable, Simple, Connected auto insurance have been introduced in multiple states to enhance customer value [11] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of addressing insurance affordability through cost reductions rather than profit increases, emphasizing the need for legislative changes to control costs [5][6] - The competitive landscape remains challenging, with key competitors being Progressive, GEICO, and State Farm, but the company believes its Transformative Growth strategy is effective in gaining market share [30][31] - Management expressed optimism about the future, citing strong growth potential in homeowners insurance and the effectiveness of new product offerings [32] Other Important Information - The company returned $2.2 billion to shareholders in 2025 through dividends and share repurchases, with a new $4 billion share repurchase program authorized [22] - The investment portfolio performed well, with net investment income rising to $3.4 billion, reflecting strong risk discipline and higher fixed income yields [20] Q&A Session Summary Question: Regulatory and legislative changes regarding rate relief - Management acknowledged the complexity of predicting regulatory changes but emphasized the need for cost reductions to improve affordability for consumers [25][26] Question: Competitive landscape in auto and home insurance - Management noted that competition is intense but believes their differentiated products and pricing strategies position them well in the market [28][30] Question: Impact of legacy policies on auto PIF - Management confirmed that the slide includes inactive brands and is focused on overall growth rather than just active brands [43][44] Question: New business penalty and its impact on margins - Management indicated that increased pricing sophistication has reduced the new business penalty, allowing for growth while maintaining target margins [53][54] Question: Capital priorities and share repurchase program - Management stated that the priority is to maximize shareholder returns through organic growth and share repurchases, with M&A being a secondary consideration [81][84] Question: Premium per policy trends and retention - Management clarified that while price impacts retention, they do not consider their retention weak and are actively working to improve it through initiatives like the SAVE program [91][92]

GEICO rating: 4.1 out of 5 stars GEICO offers pet insurance through Embrace, which has three pet insurance plans and offers unlimited annual coverage with its accident and illness policy. One of the biggest benefits of GEICO pet insurance is affordability. Its pet insurance prices are well below the average of all the insurers for which Yahoo Finance collected data. GEICO also offers a few discounts for additional savings. Learn more: The best pet insurance companies GEICO pet insurance pros and cons ...

Direct rating: 3.3 out of 5 stars Direct Auto Insurance is a non-standard auto insurer that primarily serves drivers who may have trouble getting approved elsewhere. It operates under the Allstate umbrella, but its products are built for a very different customer: drivers who want monthly payment options, SR-22 filings, or a local storefront to walk into. Direct Auto’s rates are higher than average, and its claims and repair scores fall below most major competitors. The coverage options are also more limi ...

RT Matthew Bellomo (@MattBellomo777)Alexandra, you’re so good at this getting the word out. I came up with a great idea. You know how lemonade is offering 50% on insurance? Well, if all of us who are insured through many different vendors, contact insurance companies and ask them if they will ensure FSD like lemonade and then explain to them what it is on the recorded call we can make it happen much faster with the rest of the insurance companies. Like Herbert said lemonade is validating how safe FSD is. Al ...

AAA rating: 3.8 out of 5 stars AAA is known for roadside support, and its auto insurance coverage is a strong addition. You’ll find several add-ons with AAA car insurance, including accident forgiveness options, new-car replacement after a total loss, and even rideshare coverage. The catch is price. AAA’s average insurance rates are among the highest in our comparison, and its repair and complaint metrics are more mixed than you might expect. Learn more: Best car insurance companies in the U.S. AAA a ...

If you’re looking for an Esurance car insurance review, you might be surprised to learn that Esurance is no longer available. Allstate has been folding Esurance into its main brand behind the scenes. Esurance’s website is still live, but it functions mostly as a redirect hub. If you enter your ZIP code, instead of seeing Esurance rates, you’ll end up on an Allstate or Direct Auto Insurance (an Allstate brand) quote page, depending on your ZIP code. But don’t worry. If you need an Esurance, Allstate, or Di ...

Core Viewpoint - The Federal Reserve is facing scrutiny over its financial management, with significant annual losses attributed to rising interest rates and asset purchase decisions, raising concerns about accountability and transparency [1][3][4][5]. Group 1: Federal Reserve's Financial Performance - The Federal Reserve is reportedly incurring losses exceeding $100 billion annually due to increased short-term interest rates, which have led to higher interest payments on bank reserves while income from long-term securities remains low [3][4]. - Treasury Secretary Scott Bessent highlighted that the Fed's annual losses stem from "mistimed asset purchases," emphasizing the need for accountability in its operations [4][5]. - Inflation in the U.S. peaked at 9.1% in June 2022, the highest in decades, but has since decreased to 2.7% year-over-year, indicating a volatile economic environment that the Fed must navigate [4][5]. Group 2: Accountability and Transparency Concerns - Bessent argues that the Fed's independence should not compromise its accountability to the American public, especially given its unique ability to create money [1][7]. - The ongoing criminal investigation into Fed Chair Jerome Powell, related to his testimony about cost overruns on the Fed's headquarters renovation, raises further questions about the institution's governance [2]. - Bessent's comments reflect a broader concern that the Fed lacks transparency, which is critical given its influence on the economy and the lives of everyday Americans [7].

The General rating: 2.9 out of 5 stars The General car insurance may be best for high-risk drivers, including those with accidents, violations, or even a suspended license. Policies are pretty basic, but the company will file SR-22 forms for you if your state requires one. The General’s rates land just slightly above average for both full and minimum coverage. Learn more: Best car insurance companies in the U.S. The General auto insurance pros and cons Pros Has a rideshare endorsement Offers gap i ...

Core Insights - A significant portion of Americans are seeking more affordable insurance options, with nearly 30% either dropping or downgrading their insurance policies in 2025, particularly in auto insurance [1][2]. Insurance Industry Trends - The average cost of auto insurance has increased by 88% over the last decade, reflecting a broader trend of rising vehicle ownership costs [2]. - Home insurance costs have also risen, with a 16% increase over the past decade, while the median sales price of U.S. houses has surged by 42% [8][9]. Consumer Behavior - Many consumers are looking to reduce their monthly expenses, particularly in areas where they have some control, such as insurance [3]. - The trend of shopping around for better insurance rates is becoming more common, with platforms available to compare rates from various providers [6][7]. Financial Management - Financial experts recommend maintaining one to two months' worth of expenses in checking accounts, but caution against keeping excessive funds that do not earn interest [10][12]. - The national average interest rate on checking accounts is only 0.07%, which is significantly lower than inflation rates, prompting a shift towards high-yield savings accounts [13][14]. Investment Opportunities - For those looking to grow their savings, diversifying into stocks and utilizing investment apps can provide higher returns [18][19]. - Apps like Acorns facilitate small, consistent investments, allowing users to build their investment portfolios gradually [19].