MetLife, Allstate Post Strong Gains in Adjusted Earnings

By Leslie Scism

MetLife Inc. and Allstate Corp. posted strong gains in adjusted earnings watched by analysts and investors, overshadowing large net losses.

The Covid-19 pandemic fueled another strong quarter for Allstate's car-insurance business, with rush-hour fender-benders below normal because many Americans are still working from home rather than commuting. MetLife had sharply higher death benefits on life-insurance policies but reduced payouts on pension products and annuities.

"We believe the worst impact of the pandemic on our business performance is behind us," MetLife Chief Executive Michel Khalaf said.

The pandemic's impact on the insurance industry hasn't been as harmful as feared when Covid-19 cases started climbing just over a year ago. Car insurers got windfall profits as stay-at-home directives and business shutdowns left vehicles parked for days. While death claims are elevated, U.S. life insurers have paid out fewer claims than initially expected per 100,000 Covid-19 fatalities, largely because the virus has disproportionately killed the elderly and other people with little to no insurance.

Write to Leslie Scism at leslie.scism@wsj.com

(END) Dow Jones Newswires

May 05, 2021 18:28 ET (22:28 GMT)

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