|PR Newswire Association LLC|
"The board's confidence in the execution of this strategy enabled us to raise the cash returned to shareholders. The quarterly dividend was increased by 13.6 percent from the prior quarter's dividend to
Consolidated Financial Results
Net income for 2012 was
For the fourth quarter of 2012, net income was
Property-Liability Underlying Combined Ratio Finished Better Than the Full-Year Outlook; Progress on Customer-Focused Strategy
In 2012, property-liability recorded a combined ratio of 95.5, a 7.9 point improvement from the 2011 combined ratio of 103.4. Results benefited from reduced catastrophe losses and an improved underlying combined ratio compared to 2011. The 2012 underlying combined ratio was 87.2, better than the 88-91 outlook range established at the beginning of the year. The positive effects of rate and underwriting actions exceeding the loss trends in auto and property as well as the favorable effects of milder weather were the primary drivers of this result. Allstate brand standard auto produced an underlying combined ratio of 94.0 compared to 95.3 in 2011. On a recorded basis, the combined ratio for Allstate brand standard auto was 96.1, a 0.4 point increase from 2011, primarily due to losses from Sandy. Allstate brand homeowners had a recorded combined ratio of 88.0 and an underlying combined ratio of 65.1, both significantly improved from 2011 levels. This improvement is the result of profit improvement actions and favorable weather, which reduced claim frequencies below expected levels. Other personal lines, which include Emerging Businesses and Encompass, also achieved margin improvements.