Summary Box: Allstate's net income surges

AP News
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Posted: Apr 27, 2011 6:28 PM
Summary Box: Allstate's net income surges

THE BOTTOM LINE: Allstate Corp. said Wednesday that its profit more than quadrupled in the first quarter as it paid out less money for damage claims.

RATE HIKES: The insurer has been pursuing rate hikes in its homeowners unit to offset claims for severe weather related incidents such as hurricanes, wildfires and hailstorms. The company says a spike in such incidents have eaten into returns in recent years.

THE LONG TERM: Allstate had rate hikes approved in 12 states during the quarter and said it plans to pursue hikes for another couple of years.