热点黑料

Encompass 热点黑料, an Allstate 热点黑料 company that sells business through independent agents, outlined in its its intent to withdraw from Massachusetts as part of its profit improvement actions starting in late June of this year.

The company informed the Massachusetts Division of 热点黑料 (DOI) that on July 1, it will not be renewing existing personal auto and homeowners portfolios in the state, Massachusetts DOI spokesperson Chris Goetcheus told 热点黑料 Journal.

This comes after Encompass exited the North Carolina personal lines market last May, as previously reported by 热点黑料 Journal.

Encompass spokesperson April Eaton said in an emailed statement that the company has less than one percent of market share in Massachusetts, and the change will have no impact on Allstate or Esurance.

“It is our understanding that Encompass is not giving up its active license to write here; it is just going to start non-renewing policies after July 1,” Goetcheus said, adding that Massachusetts-based insurer The Hanover 热点黑料 Group will be making offers to affected policyholders to continue their insurance through Hanover.

Eaton stated Encompass entered into the agreement with The Hanover to issue renewal offers for Encompass policyholders starting with July renewals in an effort to ensure a smooth transition and minimize disruption for customers.

“We decided the best strategic decision to make in order to minimize the impact to Encompass policyholders was to initiate a replacement carrier agreement with The Hanover,” Eaton said. “We sought an agreement with a company with knowledge of the Massachusetts market that could help make this a seamless transaction for policyholders.”

The replacement carrier agreement between The Hanover and Encompass will also serve to further strengthen The Hanover’s competitive position in Massachusetts, said Emily Trevallion, director of media relations at The Hanover.

“The Hanover views this business as a natural complement to the company’s strategic footprint,” she said. “Our company has a deep understanding of the Massachusetts market, and the potential business profile is well aligned with our target customer base.”

Encompass net written premium declined by 10.3%, and policies in force were 14.5% lower in the first quarter of 2017 compared to the prior year quarter, according to the company’s first quarter 2017 earnings news release. Profit improvement actions continue to be implemented in states with inadequate returns, the release said, while the company intends to implement growth plans in states achieving target margins.

Topics Massachusetts Allstate