Allstate seals $4 billion sale of life and annuity businesses (2024)

FAQs

Why did Allstate sell its life insurance company? ›

“The business is going to be well managed by a better owner,” Wilson said. It also will make Allstate less of an investor in stocks. Because life insurance claims aren't paid out for years, it allows for insurers to pursue longer-term investment strategies, including asset classes like private-equity funds.

First announced in January 2021, the deal involved total proceeds of $4 billion, which included Blackstone's $2.8 billion purchase price, as well as increases in statutory surplus since March 31, 2020. Following its acquisition by Blackstone, the ALIC business will be renamed as Everlake Life Insurance.

Everlake U.S. Holdings Company purchased Allstate Life Insurance Company (ALIC), which issued structured settlement annuities in states than New York, and Allstate Assurance Company (AAC) on November 1, 2021. ALIC and AAC had been serving customers since 1957 and 2015, respectively.

NORTHBROOK, Ill., Oct. 1, 2021 – The Allstate Corporation (NYSE: ALL) today announced that it has obtained all required regulatory approvals and closed the sale of Allstate Life Insurance Company of New York (ALNY) to Wilton Re for approximately $400 million.

For some, the desire to sell a policy comes from wanting to use the money to make a large purchase or settle debt. Instead of taking out a loan with interest, policyholders can sell their unwanted life insurance for a lump sum payment and use that money to fund their purchase(s) or pay off outstanding debts.

As a result of the Transaction, Allstate Distributors, LLC, has changed its name to Everlake Distributors, LLC, and Allstate Life Insurance Company has changed its name to Everlake Life Insurance Company (the “Company”).

Hedge funds don't have many shares in Allstate. The company's largest shareholder is The Vanguard Group, Inc., with ownership of 12%. With 8.0% and 4.1% of the shares outstanding respectively, BlackRock, Inc. and State Street Global Advisors, Inc.

--(BUSINESS WIRE)--The Allstate Corporation (NYSE: ALL) today announced that it has closed the sale of Allstate Life Insurance Company (ALIC) and certain subsidiaries to entities managed by Blackstone for total proceeds of $4 billion, which is inclusive of Blackstone's approximately $2.8 billion purchase price, as well ...

NORTHBROOK, Ill., Jan. 4, 2021 – The Allstate Corporation (NYSE: ALL) today announced that it closed its $4 billion acquisition of National General Holdings Corp. “The acquisition of National General advances our strategy of growing personal lines insurance with an increase of 1 percentage point in market share.

If you buy an annuity from an insurance company that fails, you do have some recourse. Each state has a guaranty association that protects policyholders when an insurance company fails. There are limits to this coverage, however. The amount you can recover varies by state but is typically about $100,000 per policy.

Why are financial advisors pushing annuities? ›

With an annuity—especially a fixed annuity—they know what their monthly income will be (and can budget accordingly). This saves them the task of managing their retirement portfolio, a plus for those who worry they aren't capable of managing their own portfolio.

State Farm is the largest auto insurance company in the U.S., with 17% of the market. Other big car insurance companies include Progressive, Geico and Allstate.

Who owns the most shares of Allstate Corporation (ALL)? Vanguard owns the most shares of Allstate Corporation (ALL).

Founded in 1931 as part of Sears, Roebuck and Co., it was spun off in 1993, but was still partially owned by Sears until it became an independent company completely in June 1995. The company also has personal line insurance operations in Canada. Northbrook, Illinois, U.S.

Allstate Corporation has closed the sale of its life and annuity business – Allstate Life Insurance Company (ALIC) – as well as certain other subsidiaries to entities operated by investment management company Blackstone. The transaction was first announced earlier this year.

The ALNY transaction, along with the previously announced agreement to sell Allstate Life Insurance Co. (ALIC) to Everlake US Holdings Co., an entity managed by Blackstone Group. for $2.8 billion, will complete Allstate's exit from the life and annuity businesses.

Allstate added products throughout the 1950s, including fire insurance in 1954 and homeowners and life insurance in 1957. Allstate began selling insurance to Canadians in 1953.

Bert and Ernie. Great pairs are always stronger together, uniting to become greater than the sum of their parts. When Allstate acquired National General in 2021, another great pair came together, joining products to offer employers an even broader suite of coverage solutions for their employees.