Allstate's Profits Rise, Maybe Now They'll Pay

Jamie G. Goldstein

Attorney
(866) 735-1102 Ext 626

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Allstate and other insurance companies when reviewing claims like to follow the mantra "delay, deny, defend." In recent months Anderson Cooper of CNN began reporting on how these companies low ball accident victims and refuse to pay them what they rightly deserve. Their method of paying off claims for lower amounts than they should, which often works, happens because victims want to get on with their lives and certainly do not want to be caught up in expensive litigation for years, especially if the accident did not result in catastrophic injuries.

It seems from Allstate's recent profit numbers the tactic seems to be working. Allstate reported a 5% increase in profits during the first quarter of 2007. The company's net income is now $1.49 billion. This increase in profits is not the first in Allstate's history either. A year ago it's profits were at $1.3 billion and revenue in 2006 rose from $9.08 billion to $9.33 billion.

From the looks of Allstate's numbers they certainly have been able to save money by pushing away victims that have legitimate claims. Maybe with all the extra money they can start paying out respectable amounts of money to victims now.