Allstate Corp. (ALL) has begun the process to resume selling
auto insurance in Massachusetts, the only U.S. state the company
doesn't operate in for auto insurance.
The personal lines insurance company said it targeted Nov. 2 as
the date in which it would offer rates to consumers, if it was
successful in setting ratings with the Massachusetts Division of
Insurance.
In 1988, Allstate left Massachusetts because of the state's
highly regulated environment. Massachusetts began a new competitive
system in April 2008 in which the market would set rates after 30
years of the state doing so. Allstate spokeswoman Kate Hollcraft
said the recent changes gave insurers "greater flexibility in how
we serve customers and compete for business in the market."
Berkshire Hathaway Inc.'s (BRKA) Geico applied to write auto
insurance in Massachusetts in March.
Allstate said Monday customers in the commonwealth would have
the opportunity to select from Allstate's Your Choice Auto suite of
auto insurance products, which offers customers a variety of
coverage and pricing plans.
Shares were up 2.2% to $24.84 in recent trading. The company's
stock has lost nearly half of its value from September, but is up
from its 52-week low of $13.77 in March.
- By John Kell, Dow Jones Newswires; 201-938-5285;
john.kell@dowjones.com