Allstate Corp (NYSE:ALL) stock rose 1.07% (As on February 8, 11:14:20 AM UTC-4, Source: Google Finance) after the company reported fourth quarter 2023 net income attributable to common shareholders of about $1.5 billion, reversing a loss of $303 million during the same time the prior year. During the last three months of 2023, Allstate continued with its plan to increase auto insurance rates. Increases of an average of 13.5% were implemented in 33 locations during the fourth quarter, the Northbrook, Illinois-based insurer reported Wednesday after the market closed. Earned and written premiums for Allstate auto was up 10.7% and 10.2% in Q4 compared to Q4 2022. The combined ratio for Allstate’s auto line fell below 100 (98.9) in Q4, compared to 112.6 for Q4 2022. Consolidated catastrophe loss for the last quarter 2023 totaled $68 million, down significantly from the $779 million tag on the same quarter the prior year. In Allstate’s quarterly results for its homeowners business included $21 million in catastrophe losses compared to $603 million in Q4 2022. The combined ratio for homeowners insurance during Q4 was down 30.8 points to 62. For all of 2023, the combined ratio was 106.8, up 13.2 points from 2022.

Moreover, Allstate’s investment portfolio also performed well, with a total return of 4.6% for the quarter. The company’s proactive actions, including extending the fixed income duration, resulted in excellent investment returns, contributing to the overall financial strength of the company. Allstate’s financial condition and capital position remain robust, with statutory surplus in the insurance companies increasing to $14.6 billion. The company continues to progress on its comprehensive profit improvement plan and remains confident that strategic actions will generate attractive shareholder returns.

ALL in the fourth quarter of FY 23 has reported the adjusted earnings per share of $5.82, beating the analysts’ estimates for the adjusted earnings per share of $3.87, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 8.7 percent to $14.91 billion in the fourth quarter of FY 23. This growth was primarily driven by higher average premiums and an increase in Property-Liability earned premium. Allstate brand underwriting income in the fourth quarter of 2023 improved to $1.3 billion compared to a $990 million loss in the prior year quarter, driven by higher earned premiums, lower catastrophe losses and improved underlying loss experience.