Thread regarding Allstate Corp. layoffs

And what you say about the company
Is what you say about Allstate
Catch the mist, catch the myth
Catch the mystery, catch the WOLF

The Wolf is lurking! He loves High Expense Ratios, Bloated Insurance Premiums, and most of all direct carriers whose employees are missing a chromosome. This management team does not have the ability to take the cesspool direct. In the meantime the 🐺 is picking customers off left and right! 87% retention and another 109k auto policies down the Northbrook toilet!

@jmz+19NyvaIh Geico doesn't have a 9% expense ratio.

Next, I understand there is a difference between making a profit and an expense ratio, but riddle me this...

If you are generating industry leading shareholder returns with higher expenses why would you lower expenses in the "bloated" EA channel? Because you think you will make more money? We see how that is going...causing transformative shrinkage. zzzzz

I have a pretty simple theory about business. Make more money than you spend and you are king. You can get to that strategy a number of ways. Geico and Progressive are successful on the direct side. Allstate was successful on the EA side - now Allstate wants to be everything to everyone. Agents - yes. Direct - yes. Insure your toaster over through a warranty - yes. Fix your cell phone - yes. Become lifelock - yes. FOCUS! WE NEED FOCUS!

About 60% of all P&C insurance is still sold through agents. Direct is significant and Allstate missed the major shift over past 10 years. That aside, loss ratio only lower due to higher prices. If prices come down through expense reductions and accurate claim handling, agencies can be successful in quoting, closing, and retaining customers. No silver bullet but more a balanced approach to access and value for customer.

OP quit creating problems, rumors and mass hysteria

Allstate operating expenses ratio is 30 percent, geico is 24. Progressive and state farm are between the two.

Do think a company has operating expenses of 9 percent of revenue is hysterical.

What kept allstate in business was their loss ratio is much lower than their competition.

Alot of the layoffs were to get operating lower but the company fails because they have a ton on internal inefficiencies and technology gaps

Allstate is only “bloated” when it comes to the common worker....
Allstate has the highest paid CEO and executive staff in the industry...
Funny how that is never an expense issue for the “bloated expense ratio.”.

Allstate has an expense ratio of around 35%.
Travelers has an expense ratio around 20%.
GEICO has an expense ratio around 9%.

@jmz+19NyvaIh

Making a profit and having a bloated expense ratio are two completely different things.

I love hearing about the "bloated overhead" in the EA channel. The same "bloated overhead" that sold policies that generated INDUSTRY LEADING returns for shareholders. I am not very smart, but that doesn't sound bloated at all. That sounds like a fat and juicy CASH COW! Give me a break on this BLOATED nonsense...sick of hearing it.