Allstate announces May catastrophe loss estimate

The Allstate Corp. said Thursday that it estimated catastrophe losses for the month of May 2018 of $278 million, pretax ($220 million after-tax).

Catastrophe losses occurring in May comprised 12 events at an estimated cost of $224 million, pretax, plus unfavorable reserve re-estimates of prior reported catastrophe losses. Two severe wind and hail events, primarily impacting mid-Atlantic, Northeast and certain Midwest states, accounted for approximately 60 percent of May event catastrophe losses.

The unfavorable reserve re-estimates primarily relate to anticipated assessments from the Texas Windstorm Insurance Association related to Hurricane Harvey. Allstate previously announced $211 million, pretax ($167 million after-tax), in estimated catastrophe losses for the month of April 2018, bringing second quarter months of April and May 2018 to $489 million, pretax ($387 million after-tax).