Allstate Corp. (ALL) said Monday that it will pay out more than $600 million to auto insurance customers over the next two months as part of its Shelter-in-Place Payback plan, given the unprecendented decline in driving amid the COVID-19 pandemic. Most customers will receive 15% of their monthly premium in April in May, paid as a credit to their bank account, credit card or Allstate account. "This is fair because less driving means fewer accidents," Allstate Chief Executive Tom Wilson said. The insurer is also allowing customers facing financial challenges the choice to delay two consecutive premium payments without penalty. Allstate also said it was providing its identity protection product free for the rest of the year. The stock, which was still inactive in premarket trading, has dropped 24.0% over the past three months, while the SPDR S&P Insurance ETF (KIE) has declined 35.1% and the S&P 500 has lost 23.3%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
April 06, 2020 08:31 ET (12:31 GMT)
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