Allstate Announces Hurricane Charley Losses

(source: Allstate Press Release)

The Allstate Corp. has announced that its pre-tax catastrophe losses related to Hurricane Charley are estimated to be approximately $425 million net recoveries from the Florida Hurricane Catastrophe Fund. The estimate includes losses on Florida personal lines auto and property policies, net losses on commercial policies and a low level of losses experienced in North and South Carolina.

Hurricane Charley, a Category 4 hurricane, struck Florida on August 13. As of the end of August, 55,600 claims have been received from policyholders of the various Allstate subsidiaries doing business in Florida and elsewhere for damage caused by the hurricane.

"We know that this is a particularly difficult time for residents in Hurricane Charley's path and hundreds of claims personnel are on the scene helping customers restore their lives," said chairman, president and chief executive officer Edward M. Liddy.

Residents of Florida are now preparing for the possible impact of Hurricane Frances, expected to hit land this weekend or early next week. A report from the Weather Channel indicates that Frances has weakened a bit as it passed across the Bahamas, downgrading to a Category 3 but sources indicate that the course of the weather system remains uncertain and could once again pick up speed as it reenters open water.

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