Allstate Corporation (the) · NYSE:ALL
Allstate Corporation (the) — Q4 2020 Earnings Presentation
16 slides from Allstate Corporation (the)'s earnings presentation, Feb 4, 2021
Slide 1: The Allstate Corporation Fourth Quarter 2020 Earnings Presentation
® The Allstate Corporation Fourth Quarter 2020 Earnings Presentation February 4, 2021
Slide 2: Forward-Looking Statements and Non-GAAP Financial Information
Forward-Looking Statements and Non-GAAP Financial Information This presentation contains forward-looking statements and information. This presentation also contains non-GAAP measures that are denoted with an asterisk. You can find the reconciliation of those measures to GAAP measures within our most
Slide 3: Allstate Delivers Attractive Returns While Building Higher Growth Business Models
Allstate Delivers Attractive Returns While Building Higher Growth Business Models ▪ Allstate made exceptional progress in 2020 building transformative growth business models ‒ Maintained overall Property-Liability policies in force at 34 million while transitioning to broader customer access. Allsta
Slide 4: Building Higher Growth Business Models
Building Higher Growth Business Models Increase Personal Property-Liability Market Share ▪ Expand Customer Access ▪ Improve Customer Value 2020 Operating Priorities ▪ Better Serve Customers Leveraging Allstate Brand, ▪ Grow Customer Base Customer Base and Capabilities ▪ Achieve Target Returns on Cap
Slide 5: Transition To Higher Growth Successfully Being Implemented
Transition To Higher Growth Successfully Being Implemented Expand Customer Access ▪ Allstate Property-Liability new business from existing agents met goals except for March and April ▪ Stopped appointing new Allstate agents while a higher growth and lower cost model is developed, which had a negativ
Slide 6: Allstate Delivers Strong Results in 2020
Allstate Delivers Strong Results in 2020 ▪ Total revenues of $12.0 billion in the fourth quarter and $44.8 billion for the full year 2020 ▪ Net income of $2.6 billion in the fourth quarter and $5.5 billion for the full year 2020 ▪ Adjusted net income of $14.73 per share generated a return on common
Slide 7: Increasing Property-Liability Market Share While Maintaining Attractive Returns
Increasing Property-Liability Market Share While Maintaining Attractive Returns ▪ Allstate will have leading positions in three primary distribution channels and expects to increase market share by over 1 percentage point in 2021 ‒ Allstate agent distribution serves customers who want local relation
Slide 8: Acquisition of National General Will Accelerate Profitable Growth Through Independent Agents
Acquisition of National General Will Accelerate Profitable Growth Through Independent Agents ▪ Allstate closed the $4 billion acquisition of National General Holdings Corp. on Jan. 4, 2021 ▪ National General will become Allstate’s independent agent (“IA”) platform ‒ Encompass will be consolidated in
Slide 9: Strengthened Allstate Brand and Independent Property-Liability Distribution
Strengthened Allstate Brand Property-Liability Distribution ▪ Allstate agent distribution improved effectiveness and efficiency ‒ Existing agents increased new business in 2020, except for March and April, supported by higher new business commissions ‒ Stopped appointing new Allstate agents while a
Slide 10: Property-Liability Results Remained Strong in Fourth Quarter, 2020
Property-Liability Results Remained Strong in Fourth Quarter, 2020 ▪ Net written premium declined 1.5% in the quarter as homeowners insurance growth was offset by auto insurance premium refunds ▪ Underwriting income of $1.4 billion increased $420 million compared to the prior year quarter ─ Improved
Slide 11: Protection Services Continues High Growth and Profit Trajectory
Protection Services Continues High Growth and Profit Trajectory ▪ Revenues(1) of $497 million increased 17.5% compared to the prior year quarter, reaching $1.9 billion for the full year 2020 ‒ Allstate Protection Plans had revenues of $965 million for the full year 2020 ‒ Policies in force increased
Slide 12: Net Investment Income Benefited From Higher Performance-based Results
Net Investment Income Benefited From Higher Performance-based Results ▪ Net investment income for the fourth quarter was $1.2 billion, substantially higher than the prior year − Performance-based income totaled $557 million from higher valuations and sales gains − Market-based income of $672 million
Slide 13: Allstate Life, Benefits and Annuities Impacted by Coronavirus and Investment Income
Allstate Life, Benefits and Annuities Impacted by Coronavirus and Investment Income ▪ Allstate Life adjusted net income of $56 million decreased $20 million from the prior year, primarily due to higher contract benefits from unfavorable mortality due to the Coronavirus ▪ Allstate Benefits adjusted n
Slide 14: Allstate Generates Attractive Returns While Investing in Growth
Allstate Generates Attractive Returns While Investing in Growth ▪ Return on equity was among the highest in the insurance industry ▪ Closed on $4 billion acquisition of National General to strategically position Allstate for profitable growth in the independent agent channel ▪ Completed the $750 mil
Slide 15: Allstate Earnings Conference Call Presentation: February 4, 2021
® Allstate Earnings Conference Call Presentation: February 4, 2021 14
Slide 16: Forward-Looking Statements
Forward-Looking Statements • This presentation contains “forward-looking statements” that anticipate results based on our estimates, assumptions and plans that are subject to uncertainty. These statements are made subject to the safe-harbor provisions of the Private Securities Litigation Reform Act
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