ALDOI to Conduct Hearing on Allstate Proposed Rate Increase

Contact: Ragan Ingram


A hearing on proposed rate increases by Allstate Insurance and its affiliates will be held Jan. 5 at the Mobile Civic Center, according to the Alabama Department of Insurance.

The Alabama Department of Insurance has refused to approve Allstate’s proposed rate increases and the hearing has been scheduled before Insurance Commissioner Walter A. Bell to give Allstate the opportunity to present its case.

The hearing will be held in Room 7 at 10 a.m. Seating will be on a first-come, first-served basis.

Additionally, Allstate has officially notified the Alabama Department of Insurance of its intent to non-renew at least 19,000 homeowners, commercial and mobile home policies beginning in March 2007.

The general rate increase proposal has a net effect statewide of 25 percent, but the proposal would at least triple rates on some Allstate customers in Mobile and Baldwin counties. There is a second proposal concerning reinsurance that would increase rates above the first proposal.