Q1 2023 Earnings Call Presentation

U.S. Regulated Equity Markets (Alternative Disclosure) via PUBT

The Allstate Corporation

First Quarter 2023 Earnings Presentation

05.04.2023

Forward-looking statements and non-GAAP financial information

This presentation contains forward-looking statements and information. This presentation also contains non- GAAP measures that are denoted with an asterisk. You can find the reconciliation of those measures to GAAP measures within our most recent earnings release, investor supplement or on our website, www.allstateinvestors.com, under the "Financials" link.

Additional information on factors that could cause results to differ materially from this presentation is available in the 2022 Form 10-K, Form 10-Q for March 31, 2023, our most recent earnings release, and at the end of these slides. These materials are available on our website, www.allstateinvestors.com, under the "Financials" link.

The Allstate Corporation 2023

PAGE 1

Allstate's Strategy To Increase Shareholder Value

Increase Personal

Property-Liability Market Share

Leveraging Allstate brand,

customer base and capabilities

Expand Protection

Services

First quarter 2023 highlights

Net loss of $346 million

Property-Liabilityunderwriting loss o Strong investment results

1. Protection Services and Health and Benefits profit
Executing comprehensive plan to improve auto insurance profitability by:
1. Raising rates

1. Reducing expenseso Limiting growth
  o Enhancing claims processes
Advancing Transformative Growth plan
Expanding Allstate Protection Plans

The Allstate Corporation 2023

PAGE 2

Allstate Remains Focused on Improving Profitability

			Revenues increased $1.45 billion driven by higher Property-
			Liability earned premiums from rate increases

			Three months ended March 31

($ in millions, except per share data and ratios)			2023	2022	Change

Total revenues			$13,786	$12,336	11.8%
Property-Liability insurance premiums			11,635	10,498	10.8%
Accident and health insurance premiums and contract charges	463	468	(1.1%)
Net investment income			575	594	(3.2%)
Net gains (losses) on investments and derivatives			14	(267)	NM

Income applicable to common shareholders:
Net income (loss)	Benefited from higher	(346)	634	NM
Adjusted net income (loss)*	investment yields	(342)	730	NM

Per diluted common share(1)
Net income (loss)			(1.31)	2.25	NM
Adjusted net income (loss)*			(1.30)	2.59	NM
Retuon Allstate common shareholders' equity (trailing twelve months)
Net income applicable to common shareholders			(13.0%)	15.6%	(28.6) pts
Adjusted net income*			(6.7%)	13.0%	(19.7) pts

NM = Not meaningful

Reflects underwriting loss in the first quarter primarily driven by

elevated catastrophe losses and higher loss costs in auto insurance

In periods where a net loss or adjusted net loss is reported, weighted average shares for basic earnings per share is used for calculating diluted earnings per share because all dilutive potential common shares are anti-dilutive and are therefore excluded from the calculation.

The Allstate Corporation 2023

PAGE 3

Earned Premium Increases Offset by Elevated Catastrophe Losses and Continued Underlying Loss Cost Increases

Underlying combined ratio improved relative to 2022, driven primarily by	Earned premium increase of 10.8% offset by
higher average premium from rate increases and expense reductions	increased loss costs

Property-Liability recorded and underlying combined ratio*

								106.6	108.6

							95.9	11.5	15.3
93.0	93.2
92.0

8.8	7.9	7.0	87.6	9.7

					8.2		95.1	93.3
					86.2
84.2	85.3	85.0	79.4


2017	2018	2019	2020	2021	2022	Q1 2023
		Underlying combined ratio*		Catastrophe losses, PYRR and APIA (1)

Property-Liability combined ratio reconciliation

Q1 2023 compared to YE 2022

			7.4
106.6	0.1			108.6
		-1.9
		-3.6

YE 2022 Combined Ratio

Underlying Loss Ratio

Catastrophe Losses

Underwriting Expense Ratio

Non-Cat Prior Year Reserves

Q1 2023 Combined Ratio

Elevated catastrophe losses of $1.7 billion in the first quarter

drove the recorded combined ratio increase to prior year

(1) Reflects combined ratio impact of catastrophe losses, prior year reserve reestimates and amortization of purchased intangibles

The Allstate Corporation 2023

PAGE 4

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Disclaimer

The Allstate Corporation published this content on 04 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 May 2023 02:00:03 UTC.