All About Allstate Homeowners Insurance

Allstate homeowners insurance policies have been around since the company originated in 1931.  Back then they were a part of Sears, Roebuck and Company, but they would eventually branch off and establish themselves as a separate entity.  Such a move would prove to be very lucrative, as the company now generates $35 billion from their insurance products.

In fact, Allstate is so prominent, it isn’t too difficult acquiring one of their homeowners insurance policies.  Consumers can visit one of their offices, (which are available all across the country), or obtain quotes from either their website or the websites of one of their affiliates.

Not Living Up to Their Slogan?

Allstate’s slogan is “You’re in Good Hands.”  But for many consumers the company is not living up to its own expectations.  This is because recently Allstate has done many controversial things that have made them somewhat infamous in the eyes of many of their customers.

First, Allstate plans on reducing coverage for Florida residents, despite their need for insurance protection during the flooding season.  A total of 120,000 policies have already been dropped since last November.  And of the policies that still exist, questions have risen as to whether or not the premiums are fair.  The concerns are so grave that the Florida Department of Insurance is currently investigating Allstate’s actions.

Of course, Florida is not the only at-risk state negatively affected by Allstate.  This is because the company announced that they would not offer coverage at all in California.  Residents would have to use Pacific Specialty Insurance Company to obtain their homeowners insurance.

Another problem with Allstate homeowners insurance is a recent policy change it went through.  The term “extended coverage” was used to make it seem as if their policies had improved.  But the truth of the matter was that the coverage was lowered, something customers found out when they got legitimate claims rejected.  Allstate tried to avoid further responsibility by finding ways to delay court appearances.

Analyzing The Good News

On the upside Allstate has seen a generous increase in revenues despite the controversies

surrounding them.  So, this means that they are still able to not only get new customers, but they are also holding onto existing customers.  However, it should be noted that a large portion of customers probably do not really need to make a claim.  They may think Allstate is reliable until an actual emergency happens to them.

Yet, there is the possibility that some of the complaints regarding Allstate are minor in comparison to the numbers of customers who are happy with them.  But even if this is the case, what about the company’s overall ethical positioning?  If they are so quick to abandon two states that are in the most need of homeowners insurance, how can one be assured they will pay out when needed?

Allstate homeowners insurance is easily accessible, but based on some of the company’s past actions, consumers cannot be guaranteed they will receive their claim.  Granted, Allstate does continue to acquire a great deal of financial success, but only time will tell if such success is really from clever marketing schemes or actually providing a worthwhile service.

Enter your search terms Submit search form