Nationwide / Allstate Troubles

Before getting alarmed – it seems that the news services are getting some sort of preverse pleasure out of reporting bad financial news.

The downgrade of Nationwide (parent company of Allied) is minor – LINK.

The bottom line is that Allied may have to raise rates to compensate for the storm losses they have incurred according to the story.

Excerpt: “A.M. Best Co. has revised the outlook of Nationwide Group to negative from stable due in part to the historical impact of storm losses on the group coupled with reduced investment income.”

Ok – everyone is losing investment income.

Allstate is a carrier we never sell – they are mostly captive and are famous for their claims management practices.

Allstate reported a 1.13 Billion Dollar loss LINK.

You won’t see us crying over that – but if you know anyone insured with Allstate – now is the time to refer them to us.