Allstate, Progressive face increasing claims as recession eases
U.S. auto insurers, a group that includes Allstate Corp. and Progressive Corp., face an increase in claims costs as the recession eases and drivers return to the road, an analyst with Barclays Plc said.
Allstate is based in Northbrook.
The insurers "could face pressure" on quarterly results because earnings in the year earlier period benefited from motorists who reduced driving, which led to fewer accidents, said Jay Gelb of Barclays in a note to investors today.
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