Is Allstate getting ready to expand from home and auto?

Is Allstate getting ready to expand from home and auto?

Is Allstate getting ready to expand from home and auto? Allstate, America’s largest publicly traded home and auto insurer, could soon be offering insurance for smartphones and other similar personal devices.

"We're not really in the personal device insurance business today," said Allstate chairman and CEO Tom Wilson at the Barclays Global Financial Services Conference last Tuesday. "If you buy cellphone insurance, it's incredibly expensive for not a lot of value."

"[Allstate] could do something better and different in those spaces," he added. "We look at it: Do people have needs to be protected?"

According to Chicago Tribune, Allstate generates over 90% of its premiums from auto and homeowners insurance, with the remainder coming from lines such as renters, condominium, commercial coverage, and even roadside services.

"We think we can broaden our customer offering," he remarked.

Wilson mused about the company adding another line of business after he was asked whether the need for auto insurance would disappear once driverless car technology is fully implemented.

"People are going to own cars for a long time," commented Wilson. "They're going to have accidents with them."


Related stories:
Another tech-based insurance startup enters the fray
Morning Briefing: Allstate drones inspected hailstorm damage