Allstate Back in California Homeowner Market After 9 Year Absence

Insurance Commissioner Dave Jones welcomed Allstate Insurance back into the California homeowner insurance market last week week, after a nine year absence writing new homeowner policies. Allstate also entered into an agreement with the commissioner to reduce its homeowner insurance rates by an average of 12.6 percent.

“Allstate’s return to California’s homeowner insurance market is good news for consumers,” said Insurance Commissioner Dave Jones. “More competition and choice in the insurance marketplace benefits consumers. Allstate joins the nearly 100 existing companies offering homeowner and rental coverage in California, where consumers have more choices when shopping for the coverage they need.”

In May 2007, Allstate announced they were no longer writing new policies for homeowner insurance in California in an effort to more effectively manage their exposure to catastrophic risk. During that time Allstate agents continued to offer homeowner insurance through brokered carriers and renewed existing business. Allstate is third in market share in the California homeowner market.

“We are excited to begin offering the Allstate homeowner product to new customers in California. This product will complement our existing brokered products in certain areas throughout the state,” said Phil Telgenhoff, Allstate’s field senior vice president in California.

Source: California Department of Insurance