ALLSTATE CORP 10-Q

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations Overview The following discussion highlights significant factors influencing the consolidated financial position and results of operations of The Allstate Corporation (referred to in this document as “we,” “our,” “us,” the “Company” or “Allstate”). It should be read in conjunction with the condensed consolidated financial statements and related notes thereto found under Part I. Item 1. contained herein, and with the discussion, analysis, consolidated financial statements and notes thereto in Part I. Item 1. and Part II. Item 7. and Item 8. of The Allstate Corporation annual report on Form 10-K for 2024, filed February 24, 2025. Further analysis of our insurance segments Allstate Protection and Run-off Property-Liability, together Property-Liability Operations, and Protection Services, is provided in Management’s Discussion and Analysis (“MD&A”). The segments are consistent with the way in which the chief operating decision maker reviews financial performance and makes decisions about the allocation of resources. The dispositions of the employer voluntary benefits (“EVB”) and group health businesses did not qualify for discontinued operations. Starting in the third quarter of 2025, the Allstate Health and Benefits segment is no longer a reportable segment, with results of this segment recast to reflect only the results of the EVB and group health businesses. The retained individual health business, previously included in the Allstate Health and Benefits segment, is a non-reportable segment with results included in all other for all periods presented. Measuring segment profit or loss The measure of segment profit or loss used in evaluating performance is underwriting income for the Allstate Protection and Run-off Property-Liability segments and adjusted net income for the Protection Services and Corporate segments. We use these measures in our evaluation of results of operations to analyze profitability. Underwriting income is calculated as premiums earned and other revenue, less claims and claims expense (“losses”), amortization of deferred policy acquisition costs (“DAC”), operating costs and expenses, amortization or impairment of purchased intangibles and restructuring and related charges, as determined using accounting principles generally accepted in the United States of America (“GAAP”). Adjusted net income (loss) is net income (loss) applicable to common shareholders, excluding: • Net gains and losses on investments and derivatives • Pension and other postretirement remeasurement gains and losses • Amortization or impairment of purchased intangibles • Gain or loss on disposition • Adjustments for other significant non-recurring, infrequent or unusual items, when (a) the nature of the charge or gain is such that it is reasonably unlikely to recur within two years, or (b) there has been no similar charge or gain within the prior two years • Income tax expense or benefit on reconciling items Macroeconomic impacts Macroeconomic factors have and may continue to impact the results of our operations, financial condition and liquidity, such as U.S. government fiscal and monetary policies, the Russia/Ukraine conflict, supply chain disruptions and labor shortages. Tariffs Beginning on April 2, 2025, the U.S. government announced additional tariffs on goods imported to the U.S. We regularly evaluate scenarios to understand the potential impact of tariffs on our businesses and incorporate estimates of the impact into our development of reserves for claims. The evolving and uncertain global trade environment makes it difficult to predict the full effect on our business. The following factors may impact operations at levels beyond what we are currently observing: • Higher new and used vehicle pricing and replacement parts, increasing claims costs in Allstate Protection and Dealer Services • Increases in building material costs, driving increases in homeowners claim costs • Lack of availability of replacement parts from disruption in global trade broadly impacting all businesses • Fewer auto new issued applications due to lower new and used vehicle sales • Reduced demand in Dealer Services due to lower new vehicle sales • Lower premiums written from reduced U.S. retail sales in Protection Plans • Higher claims costs at Protection Plans • Bad debt and credit allowance exposure in all businesses • Adverse impacts on investment valuations and liquidity for market-based and performance-based investments This is not inclusive of all potential impacts and should not be treated as such. Third Quarter 2025 Form 10-Q 45 Corporate strategy Our strategy has two components: increase personal property-liability market share and expand protection offerings by leveraging the Allstate brand, customer base and capabilities. Transformative Growth is about creating a business model, capabilities and culture that continually transform to better serve customers. This is done by providing affordable, simple and connected protection through multiple distribution methods. The ultimate objective is to enhance customer value to drive growth in all businesses. In the personal property-liability businesses, this has five key components: • Improving customer value • Expanding customer access • Increasing sophistication and investment in customer acquisition • Deploying new technology ecosystems • Driving organizational transformation We are expanding Protection Services businesses internationally and by leveraging the Allstate brand, customer base and capabilities. Dispositions On April 1, 2025, we closed the sale of American Heritage Life Insurance Company and American Heritage Service Company, comprising our employer voluntary benefits (“EVB”) business. We recorded a gain on the sale of $888 million or $641 million, after-tax for the nine months ended September 30, 2025. On July 1, 2025, we closed the sale of Direct General Life Insurance Company, NSM Sales Corporation and The Association Benefits Solution, LLC, comprising the group health business. We recorded a gain on sale of approximately $722 million or $506 million, after-tax in the third quarter of 2025. See Note 3 of the condensed consolidated financial statements for further information on the EVB and group health dispositions. Highlights Q1 Q2 Q3 Consolidated net income applicable to common shareholders ($ in millions) Consolidated net income applicable to common shareholders increased $2.56 billion to $3.72 billion in the third quarter of 2025 and increased $3.71 billion to $6.36 billion in the first nine months of 2025 compared to the same periods of 2024, primarily due to higher underwriting income and gains on dispositions. Total revenues ($ in millions) Total revenues increased 3.8% to $17.26 billion in the third quarter of 2025 and increased 5.8% to $50.34 billion in the first nine months of 2025 compared to the same periods of 2024, primarily due to higher auto and homeowners insurance policies in force and premium rate increases. Net investment income ($ in millions) Net investment income increased $166 million to $949 million in the third quarter of 2025 and increased $298 million to $2.56 billion in the first nine months of 2025 compared to the same periods of 2024, primarily due to higher market-based and performance-based investment results. 46 www.allstate.com Financial highlights Investments totaled $82.33 billion as of September 30, 2025, increasing from $72.61 billion as of December 31, 2024. Allstate shareholders’ equity was $27.51 billion as of September 30, 2025, increasing from $21.44 billion as of December 31, 2024, primarily due to net income and an increase in unrealized net capital gains on investments in 2025, partially offset by common share repurchases and dividends to shareholders. Book value per diluted common share (ratio of Allstate common shareholders’ equity to total common shares outstanding and dilutive potential common shares outstanding) was $95.95 as of September 30, 2025, an increase of 36.4% from $70.35 as of September 30, 2024, and an increase of 32.6% from $72.35 as of December 31, 2024. Return on average Allstate common shareholders’ equity for the twelve months ended September 30, 2025, was 37.2%, an increase of 11.1 points from 26.1% for the twelve months ended September 30, 2024. The increase was primarily due to higher net income applicable to common shareholders for the trailing twelve-month period ending September 30, 2025. Summarized consolidated financial results Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Revenues Property and casualty insurance premiums $ 15,253 $ 14,333 $ 44,992 $ 41,797 Accident and health insurance premiums and contract charges 110 487 832 1,439 Other revenue 691 781 2,200 2,129 Net investment income 949 783 2,557 2,259 Net gains (losses) on investments and derivatives 252 243 (241) (24) Total revenues 17,255 16,627 50,340 47,600 Costs and expenses Property and casualty insurance claims and claims expense (8,654) (10,409) (29,718) (30,711) Accident, health and other policy benefits (67) (317) (588) (904) Amortization of deferred policy acquisition costs (2,101) (2,037) (6,264) (5,977) Operating, restructuring and interest expenses (2,383) (2,349) (6,994) (6,471) Pension and other postretirement remeasurement gains (losses) 108 (26) 30 (15) Amortization of purchased intangibles (59) (71) (175) (210) Total costs and expenses (13,156) (15,209) (43,709) (44,288) Gain on disposition of operations 720 — 1,610 — Income from operations before income tax expense 4,819 1,418 8,241 3,312 Income tax expense (1,075) (254) (1,802) (603) Net income 3,744 1,164 6,439 2,709 Less: Net loss attributable to noncontrolling interest (2) (26) (11) (30) Net income attributable to Allstate 3,746 1,190 6,450 2,739 Preferred stock dividends (29) (29) (88) (88) Net income applicable to common shareholders $ 3,717 $ 1,161 $ 6,362 $ 2,651 Segment highlights Allstate Protection underwriting income was $3.04 billion in the third quarter of 2025 compared to underwriting income of $555 million in the third quarter of 2024, due to lower catastrophe losses, increased premiums earned and the benefit of prior year reserve releases. Underwriting income totaled $4.69 billion in the first nine months of 2025 compared to underwriting income of $1.32 billion in the first nine months of 2024, due to increased premiums earned and the benefit of prior year reserve releases, partially offset by higher expenses. Catastrophe losses were $558 million and $4.75 billion in the third quarter and first nine months of 2025, respectively, compared to $1.70 billion and $4.55 billion in the third quarter and first nine months of 2024, respectively. Premiums written increased 6.3% to $15.63 billion in the third quarter of 2025 and increased 6.7% to $44.97 billion in the first nine months of 2025 compared to the same periods of 2024, reflecting higher auto and homeowners insurance policies in force and premium rate increases. Third Quarter 2025 Form 10-Q 47 Protection Services adjusted net income was $46 million in the third quarter of 2025 compared to $58 million in the third quarter of 2024. Adjusted net income was $161 million the first nine months of 2025 compared to $167 million in the nine months of 2024. The decrease in both periods was primarily due to higher expenses at Arity and increased claims at Protection Plans, partially offset by premium growth at Protection Plans. Premiums and other revenue increased 12.7% to $844 million the third quarter of 2025 and increased 13.5% to $2.45 billion in the first nine months of 2025 compared to the same periods of 2024, primarily due to growth at Protection Plans. Income taxes The effective tax rate is the ratio of income tax expense (benefit) divided by income (loss) from operations before income tax expense. For the first nine months ended September 30, 2025, we reported an effective tax rate of 21.9% based on total income tax expense of $1.80 billion on total income from operations before income tax expense of $8.24 billion. The effective rate for the first nine months ended September 30, 2025, is higher than the federal statutory rate of 21%, primarily due to non-deductible goodwill and higher state income taxes arising from the sales of the EVB and group health businesses, offset by tax benefits derived from tax credits, tax-exempt interest income and share-based payments. For the first nine months ended September 30, 2024, we reported an effective tax rate of 18.2% based on a total income tax expense of $603 million on income from operations before income tax benefit of $3.31 billion. The effective tax rate for the first nine months ended 2024 was lower than the federal statutory rate of 21% due to the additional tax benefit derived from tax credits, shared-based payments and tax-exempt interest income. Reconciliation of the statutory federal income tax rate to the effective income tax rate Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Income (loss) before income taxes $ 4,819 $ 1,418 $ 8,241 $ 3,312 Statutory federal income tax rate on income from operations $ 1,012 21.0 % $ 298 21.0 % $ 1,731 21.0 % $ 696 21.0 % Non-deductible goodwill (1) 42 0.9 — — 94 1.1 — — State income taxes 58 1.2 12 0.8 86 1.0 31 0.9 Change in valuation allowance 1 — 4 0.3 3 — (2) (0.1) Tax credits (21) (0.4) (19) (1.3) (49) (0.6) (45) (1.3) Tax-exempt income (8) (0.2) (8) (0.6) (27) (0.3) (19) (0.5) Share-based payments (3) (0.1) (15) (1.0) (23) (0.2) (29) (0.9) Uncertain tax positions — — (3) (0.2) (14) (0.1) (3) (0.1) Other (6) (0.1) (15) (1.1) 1 — (26) (0.8) Effective income tax rate on income from operations $ 1,075 22.3 % $ 254 17.9 % $ 1,802 21.9 % $ 603 18.2 % (1) The sales of the employer voluntary benefits and group health businesses on April 1, 2025 and July 1, 2025, respectively, resulted in the disposal of non-deductible goodwill. On July 4, 2025, H.R. 1 was signed into law, making a number of changes to the U.S. tax code. The legislation makes many provisions permanent that were originally enacted under the 2017 Tax Cuts and Jobs Act, in addition to implementing new measures that directly affect corporate taxpayers. Key provisions include the permanent reinstatement of full and immediate expensing for domestic research and development expenditures, new limitations on the deductibility of corporate charitable contributions, and a substantial rollback of renewable energy tax credits, including transferability of certain energy-related credits, while at the same time expanding availability of tax incentives for affordable housing developments. These changes do not have a significant impact to our consolidated financial statements. 48 www.allstate.com Property-Liability Operations Property-Liability Operations Overview Property-Liability operations consist of two reportable segments: Allstate Protection and Run-off Property-Liability. These segments are consistent with the groupings of financial information that management uses to evaluate performance and to determine the allocation of resources. We do not allocate Property-Liability investment income, net gains and losses on investments and derivatives, or assets to the Allstate Protection and Run-off Property-Liability segments. Management reviews assets at the Property-Liability level for decision-making purposes. GAAP operating ratios are used to measure our profitability to enhance an investor’s understanding of our financial results and are calculated as follows: • Loss ratio: the ratio of claims and claims expense (loss adjustment expenses), to premiums earned. Loss ratios include the impact of catastrophe losses and prior year reserve reestimates. • Expense ratio: the ratio of amortization of DAC, operating costs and expenses, amortization or impairment of purchased intangibles and restructuring and related charges, less other revenue to premiums earned. • Combined ratio: the sum of the loss ratio and the expense ratio. We have also calculated the following impacts of specific items on the GAAP operating ratios because of the volatility of these items between periods. The impacts are calculated by taking the specific items noted below divided by Property-Liability premiums earned: • Effect of catastrophe losses on combined ratio: includes catastrophe losses and prior year reserve reestimates of catastrophe losses included in claims and claims expense • Effect of prior year reserve reestimates on combined ratio • Effect of amortization of purchased intangibles on combined ratio • Effect of restructuring and related charges on combined ratio • Effect of Run-off Property-Liability business on combined ratio: includes claims and claims expense, restructuring and related charges and operating costs and expenses in the Run-off Property-Liability segment Premium measures and statistics are used to analyze our premium trends and are calculated as follows: • PIF : policy counts are based on items rather than customers. A multi-car customer would generate multiple item (policy) counts, even if all cars were insured under one policy. Lender-placed policies are excluded from policy counts because relationships are with the lenders. • New issued applications : item counts of automobile or homeowner insurance applications for insurance policies that were issued during the period, regardless of whether the customer was previously insured by another Allstate brand. • Average premium - gross written (“average premium”): gross premiums written divided by issued item count. Gross premiums written include the impacts from discounts, surcharges and ceded reinsurance premiums and exclude the impacts from mid-term premium adjustments and premium refund accruals. Average premiums represent the appropriate policy term for each line. • Implemented rate changes: represents the impact in the locations (U.S. states, the District of Columbia or Canadian provinces) where rate changes were implemented during the period as a percentage of total prior year-end premiums written. Third Quarter 2025 Form 10-Q 49 Property-Liability Operations Underwriting results Three months ended September 30, Nine months ended September 30, ($ in millions, except ratios) 2025 2024 2025 2024 Premiums written $ 15,630 $ 14,707 $ 44,974 $ 42,169 Premiums earned $ 14,533 $ 13,694 $ 42,906 $ 39,933 Other revenue 518 531 1,510 1,402 Claims and claims expense (8,466) (10,249) (29,210) (30,247) Amortization of DAC (1,757) (1,696) (5,231) (4,977) Other costs and expenses (1,873) (1,710) (5,259) (4,664) Restructuring and related charges (15) (23) (44) (45) Amortization of purchased intangibles (46) (52) (138) (154) Underwriting income $ 2,894 $ 495 $ 4,534 $ 1,248 Catastrophe losses Catastrophe losses, excluding reserve reestimates $ 586 $ 1,717 $ 4,788 $ 4,868 Catastrophe reserve reestimates (1) (28) (14) (38) (314) Total catastrophe losses $ 558 $ 1,703 $ 4,750 $ 4,554 Non-catastrophe reserve reestimates (1) $ (396) $ 45 $ (1,007) $ (8) Prior year reserve reestimates (1) (424) 31 (1,045) (322) GAAP operating ratios Loss ratio 58.3 74.9 68.1 75.8 Expense ratio (2) 21.8 21.5 21.3 21.1 Combined ratio 80.1 96.4 89.4 96.9 Effect of catastrophe losses on combined ratio 3.8 12.4 11.1 11.4 Effect of prior year reserve reestimates on combined ratio (2.9) 0.3 (2.5) (0.8) Effect of catastrophe losses included in prior year reserve reestimates on combined ratio (0.2) (0.1) (0.1) (0.8) Effect of restructuring and related charges on combined ratio 0.1 0.1 0.1 0.1 Effect of amortization of purchased intangibles on combined ratio 0.3 0.4 0.3 0.4 Effect of Run-off Property-Liability business on combined ratio 1.0 0.5 0.3 0.2 (1) Reserve releases are shown in parentheses. (2) Other revenue is deducted from operating costs and expenses in the expense ratio calculation. 50 www.allstate.com Allstate Protection Segment Results Allstate Protection Segment Underwriting results Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Premiums written $ 15,630 $ 14,707 $ 44,974 $ 42,169 Premiums earned $ 14,533 $ 13,694 $ 42,906 $ 39,933 Other revenue 518 531 1,510 1,402 Claims and claims expense (8,320) (10,190) (29,059) (30,182) Amortization of DAC (1,757) (1,696) (5,231) (4,977) Other costs and expenses (1,873) (1,709) (5,257) (4,661) Restructuring and related charges (15) (23) (44) (45) Amortization of purchased intangibles (46) (52) (138) (154) Underwriting income $ 3,040 $ 555 $ 4,687 $ 1,316 Catastrophe losses $ 558 $ 1,703 $ 4,750 $ 4,554 Underwriting income was $3.04 billion in the third quarter of 2025 compared to underwriting income of $555 million in the third quarter of 2024, due to lower catastrophe losses, increased premiums earned and the benefit of prior year reserve releases. Underwriting income increased $3.37 billion to $4.69 billion in the first nine months of 2025 compared to the first nine months of 2024, due to increased premiums earned and the benefit of prior year reserve releases, partially offset by higher expenses. Change in underwriting results from prior year period - three months ended ($ in millions) Change in underwriting results from prior year period - nine months ended ($ in millions) Third Quarter 2025 Form 10-Q 51 Segment Results Allstate Protection Underwriting income (loss) Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Auto $ 1,726 $ 486 $ 3,873 $ 1,207 Homeowners 1,107 60 580 249 Other personal lines 61 (18) (15) (66) Commercial lines 93 (16) 92 (224) Other business lines (1) 52 40 147 140 Answer Financial 1 3 10 10 Total $ 3,040 $ 555 $ 4,687 $ 1,316 (1) Represents commissions earned and other costs and expenses for Ivantage, non-proprietary life and annuity products and lender-placed products. Premium measures and statistics include PIF, new issued applications and average premiums to analyze our premium trends. Premiums written is the amount of premiums charged for policies issued during a reporting period. Premiums are considered earned and are included in the financial results on a pro-rata basis over the policy period. The portion of premiums written applicable to the unexpired term of the policies is recorded as unearned premiums on our Condensed Consolidated Statements of Financial Position. Premiums written Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Auto $ 9,869 $ 9,539 $ 29,250 $ 28,180 Homeowners 4,607 4,073 12,455 10,792 Other personal lines 887 817 2,481 2,322 Commercial lines 101 104 295 411 Other business lines 166 174 493 464 Total premiums written $ 15,630 $ 14,707 $ 44,974 $ 42,169 Premiums earned Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Auto $ 9,593 $ 9,270 $ 28,468 $ 27,127 Homeowners 3,880 3,403 11,308 9,812 Other personal lines 800 718 2,320 2,078 Commercial lines 99 151 316 478 Other business lines 161 152 494 438 Total premiums earned $ 14,533 $ 13,694 $ 42,906 $ 39,933 Reconciliation of premiums written to premiums earned Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Total premiums written $ 15,630 $ 14,707 $ 44,974 $ 42,169 (Increase) decrease in unearned premiums (1,119) (1,075) (2,158) (2,233) Other 22 62 90 (3) Total premiums earned $ 14,533 $ 13,694 $ 42,906 $ 39,933 Policies in force As of September 30, (In thousands) 2025 2024 Auto 25,332 24,998 Homeowners 7,642 7,483 Other personal lines 4,908 4,877 Commercial lines 174 238 Total 38,056 37,596 52 www.allstate.com Allstate Protection Segment Results Auto insurance premiums written increased 3.5% or $330 million in the third quarter of 2025 and increased 3.8% or $1.07 billion in the first nine months of 2025 compared to the same periods of 2024, primarily due to the following factors: • Rate increases that have moderated as we focus on growth and continued rollout of Affordable, Simple and Connected auto products. In the nine months ended September 30, 2025, rate increases of 3.6% were implemented in 52 locations, resulting in total insurance premium impact of 2.4% • PIF increased 1.3% or 334 thousand to 25,332 thousand as of September 30, 2025 compared to September 30, 2024 • Increased new issued applications in all channels • In locations not achieving acceptable returns, we expect to continue to pursue targeted rate increases. In states where we are achieving acceptable returns, we will focus on implementing rates to keep pace with increasing costs and explore opportunities for rate investments towards growth Auto premium measures and statistics Three months ended September 30, Nine months ended September 30, 2025 2024 Change 2025 2024 Change New issued applications (in thousands) Allstate Protection by channel Exclusive agency 823 675 21.9 % 2,335 1,908 22.4 % Independent agency 696 597 16.6 2,067 1,714 20.6 Direct 809 620 30.5 2,274 1,668 36.3 Total new issued applications 2,328 1,892 23.0 % 6,676 5,290 26.2 % Allstate brand average premium $ 853 $ 852 0.1 % $ 852 $ 839 1.5 % Homeowners insurance premiums written increased 13.1% or $534 million in the third quarter of 2025 and increased 15.4% or $1.66 billion in the first nine months of 2025 compared to the same periods of 2024, primarily due to the following factors: • Higher Allstate brand average premiums from implemented rate increases and inflation in insured home replacement costs and other aging factor adjustments, combined with policies in force growth • In the nine months ended September 30, 2025, rate increases of 8.0% were implemented in 44 locations, resulting in total estimated insurance premium impact of 4.3%, excluding the impact of changes in insured home replacement costs • PIF increased 2.1% or 159 thousand to 7,642 thousand as of September 30, 2025 compared to September 30, 2024, primarily in the direct and exclusive agency channels, partially offset in the independent agency channel • Increased new issued applications in direct and exclusive agency channels We are not writing new homeowners business in Florida. We are also non-renewing certain policies in Florida. We may not be able to grow in certain states without regulatory or legislative reforms that enable customers to be provided coverage at appropriate risk adjusted returns. Homeowners premium measures and statistics Three months ended September 30, Nine months ended September 30, 2025 2024 Change 2025 2024 Change New issued applications (in thousands) Allstate Protection by channel Exclusive agency 262 260 0.8 % 745 719 3.6 % Independent agency 41 63 (34.9) 136 172 (20.9) Direct 69 39 76.9 164 96 70.8 Total new issued applications 372 362 2.8 % 1,045 987 5.9 % Allstate brand average premium $ 2,296 $ 2,050 12.0 % $ 2,262 $ 1,991 13.6 % Other personal lines premiums written increased 8.6% or $70 million in the third quarter of 2025 and increased 6.8% or $159 million in the first nine months of 2025 compared to the same periods of 2024, primarily due to increases in landlords and personal umbrella policies, partially offset by a decrease in auto assigned risk policies purchased from other carriers. We are not writing new condominium business in Florida, and we are non-renewing certain policies in Florida. Commercial lines premiums written decreased 2.9% or $3 million in the third quarter of 2025 compared to the third quarter of 2024, primarily driven by the run-off of Allstate brand, partially offset by growth in National General brand. Commercial lines premiums written decreased 28.2% or $116 million in the first nine months of 2025 compared to the first nine months of 2024, primarily due to the strategic decision for the Allstate brand to stop writing new business and non-renew policies. We are committed to Third Quarter 2025 Form 10-Q 53 Segment Results Allstate Protection offering comprehensive commercial products to customers through our exclusive agency, independent agency and direct channels. These offerings include solutions from National General as well as brokered products tailored to meet diverse needs across our business customers. Other business lines premiums written decreased 4.6% or $8 million in the third quarter of 2025 compared to the third quarter of 2024, due to lower lender-placed auto premiums. Other business lines premiums written increased 6.3% or $29 million in the first nine months of 2025 compared to the first nine months of 2024, due to growth in the lender-placed homeowners business. GAAP operating ratios include loss ratio, expense ratio and combined ratio to analyze our profitability trends. Frequency and severity changes are used to describe the trends in loss costs. Combined ratios Loss ratio Expense ratio (3) Combined ratio 2025 2024 2025 2024 2025 2024 Three months ended September 30, Auto 60.6 71.9 21.4 22.9 82.0 94.8 Homeowners 48.5 76.3 23.0 21.9 71.5 98.2 Other personal lines (1) 75.1 96.2 17.3 6.3 92.4 102.5 Commercial lines (19.2) 84.8 25.3 25.8 6.1 110.6 Other business lines (2) 27.9 72.4 39.8 1.3 67.7 73.7 Total 57.3 74.4 21.8 21.5 79.1 95.9 Impact of amortization of purchased intangibles 0.3 0.4 0.3 0.4 Impact of restructuring and related charges 0.1 0.1 0.1 0.1 Nine months ended September 30, Auto 64.9 73.8 21.5 21.8 86.4 95.6 Homeowners 73.4 75.9 21.5 21.6 94.9 97.5 Other personal lines (1) 83.9 91.5 16.7 11.7 100.6 103.2 Commercial lines 42.7 120.1 28.2 26.8 70.9 146.9 Other business lines (2) 38.8 55.7 31.4 12.3 70.2 68.0 Total 67.8 75.6 21.3 21.1 89.1 96.7 Impact of amortization of purchased intangibles 0.3 0.4 0.3 0.4 Impact of restructuring and related charges 0.1 0.1 0.1 0.1 (1) Expense ratio includes other revenue of $43 million and $134 million for the three and nine months ended September 30, 2025, respectively, compared to $97 million and $161 million for the three and nine months ended September 30, 2024, respectively, for fees on auto assigned risk policies. (2) Expense ratio includes profit-sharing commissions on lender-placed business, which decreased in 2024 due to higher losses and increased in 2025 as losses declined. (3) Other revenue is deducted from operating costs and expenses in the expense ratio calculation. 54 www.allstate.com Allstate Protection Segment Results Loss ratios Loss ratio Effect of catastrophe losses (1) (2) Effect of prior year reserve reestimates Effect of catastrophe losses included in prior year reserve reestimates 2025 2024 2025 2024 2025 2024 2025 2024 Three months ended September 30, Auto 60.6 71.9 0.7 3.0 (5.0) (0.7) — (0.1) Homeowners 48.5 76.3 12.3 36.2 (1.4) (0.4) (0.4) — Other personal lines 75.1 96.2 1.0 23.8 8.3 7.1 (0.7) (0.4) Commercial lines (19.2) 84.8 (3.0) 5.3 (85.9) 0.7 (5.1) — Other business lines 27.9 72.4 3.1 9.2 (8.7) (1.9) — — Total 57.3 74.4 3.8 12.4 (3.9) (0.2) (0.2) (0.1) Nine months ended September 30, Auto 64.9 73.8 1.7 2.7 (4.1) (1.1) (0.1) (0.1) Homeowners 73.4 75.9 34.6 34.7 (0.3) (3.9) — (2.8) Other personal lines 83.9 91.5 12.2 17.0 6.1 7.9 (0.4) (0.3) Commercial lines 42.7 120.1 0.6 2.9 (32.9) 33.3 — (1.0) Other business lines 38.8 55.7 11.7 9.8 (7.9) 0.2 — — Total 67.8 75.6 11.1 11.4 (2.8) (1.0) (0.1) (0.8) (1) The ten-year average effect of total catastrophe losses on the total combined ratio was 8.6 points and 10.3 points in the third quarter and first nine months of 2025, respectively. (2) The ten-year average effect of homeowners catastrophe losses on the total homeowners combined ratio was 24.8 points and 32.9 points in the third quarter and first nine months of 2025, respectively. Auto loss ratio decreased 11.3 points in the third quarter of 2025 and decreased 8.9 points in the first nine months of 2025 compared to the same periods of 2024, driven by increased earned premiums, lower claim frequency and the benefit of prior year non-catastrophe reserve releases. Estimated report year 2025 incurred claim severity for Allstate brand increased compared to report year 2024 for major coverages due to higher repair costs, mix of total loss frequency, medical consumption and attorney representation. Gross claim frequency decreased relative to the prior year. We continue to enhance our claims practices to manage loss costs by increasing resources and expanding re-inspections and accelerating resolution of bodily injury claims. Homeowners loss ratio decreased 27.8 points in the third quarter of 2025 compared to the third quarter of 2024, primarily due to lower catastrophe losses and increased premiums earned. Homeowners loss ratio decreased 2.5 points in the first nine months of 2025 compared to the first nine months of 2024, primarily due to increased premiums earned, partially offset by higher losses. Gross claim frequency, excluding catastrophes, decreased in the third quarter and first nine months of 2025 compared to the same periods of 2024. Paid claim severity, excluding catastrophes, increased in the third quarter and first nine months of 2025 compared to the same periods of 2024, due to a mix of fire and wind/hail perils. Homeowners paid claim severity can be impacted by both the mix of perils and the magnitude of specific losses paid during the quarter. Other personal lines loss ratio decreased 21.1 points in the third quarter of 2025 compared to the third quarter of 2024, primarily due to lower losses and increased premiums earned. Other personal lines loss ratio decreased 7.6 points in the first nine months of 2025 compared to the first nine months of 2024, primarily due to increased premiums earned, partially offset by higher non-catastrophe losses. Commercial lines loss ratio decreased 104.0 points in the third quarter of 2025 and decreased 77.4 points in the first nine months of 2025 compared to the same periods of 2024, primarily due to the benefit of prior year reserve releases and lower losses, partially offset by a decrease in premiums earned driven by the strategic decision for the Allstate brand to stop writing new business and non-renew policies. Other business lines loss ratio decreased 44.5 points in the third quarter of 2025 compared to the third quarter of 2024, primarily due to lower losses and the benefit of prior year reserve releases. Other business lines loss ratio decreased 16.9 points in the first nine months of 2025 compared to the first nine months of 2024, primarily due to the benefit of prior year non-catastrophe reserve releases. Catastrophe losses decreased $1.15 billion to $558 million in the third quarter of 2025 compared to the third quarter of 2024, primarily due to fewer and less severe events as well as the absence of any hurricanes and tropical storms. Catastrophe losses increased $196 million to $4.75 billion in the first nine months of 2025 compared to the first nine months of 2024. We define a “catastrophe” as an event that produces pre-tax losses before reinsurance in excess of $1 million and involves multiple first party policyholders, or a winter weather event that produces a number of claims in excess of a preset, per-event Third Quarter 2025 Form 10-Q 55 Segment Results Allstate Protection threshold of average claims in a specific area, occurring within a certain amount of time following the event. Catastrophes are caused by various natural events including high winds, winter storms and freezes, tornadoes, hailstorms, wildfires, tropical storms, tsunamis, hurricanes, earthquakes and volcanoes. We are also exposed to man-made catastrophic events, such as certain types of terrorism, civil unrest, wildfires or industrial accidents. The nature and level of catastrophes in any period cannot be reliably predicted. Loss estimates are generally based on claim adjuster inspections and the application of historical loss development factors. Our loss estimates are calculated in accordance with the coverage provided by our policies. The establishment of appropriate reserves, including reserves for catastrophe losses, is an inherently uncertain and complex process. Reserving for hurricane losses is complicated by the inability of insureds to promptly report losses, limitations placed on claims adjusting staff affecting their ability to inspect losses, determining whether losses are covered by our homeowners policy (generally for damage caused by wind or wind driven rain) or specifically excluded coverage caused by flood, exposure to mold damage, and the effects of numerous other considerations, including the timing of a catastrophe in relation to other events, such as at or near the end of a financial reporting period, which can affect the availability of information needed to estimate reserves for that reporting period. In these situations, we may need to adapt our practices to accommodate these circumstances in order to determine a best estimate of our losses from a catastrophe. Over time, we have limited our aggregate insurance exposure to catastrophe losses in certain regions of the country that are subject to high levels of natural catastrophes by managing coverage, number of policies in force, utilizing reinsurance and participating in various state facilities. Catastrophe losses by the type of event Three months ended September 30, Nine months ended September 30, ($ in millions) Number of events 2025 Number of events 2024 Number of events 2025 Number of events 2024 Hurricanes/tropical storms — $ — 5 $ 953 — $ — 5 $ 953 Tornadoes — — — — — — 1 57 Wind/hail 35 649 39 666 85 3,746 98 3,638 Wildfires 1 3 5 25 4 1,092 8 54 Freeze/other events 1 2 1 3 1 2 2 166 Prior year reserve reestimates (1) (19) (14) 31 (314) Prior year aggregate reinsurance recoveries (9) — (69) — Current year aggregate reinsurance recoveries (4) — (52) — Prior quarter reserve reestimates (64) 70 — — Total catastrophe losses 37 $ 558 50 $ 1,703 90 $ 4,750 (2) 114 $ 4,554 (1) Includes reinsurance recoveries. (2) Gross losses before reinsurance recoverables and reinstatement premiums were $6.01 billion. Catastrophe reinsurance The catastrophe reinsurance program is part of our catastrophe management strategy, which is intended to provide shareholders with long-term returns on the risks assumed in our property business, reduce earnings volatility, and provide protection to our customers. The current catastrophe reinsurance program supports our risk and return framework which incorporates robust economic capital modeling and is informed by catastrophe risk models including hurricanes, earthquakes and wildfires. As of September 30, 2025, the modeled 1-in-100 annual aggregate probable maximum loss for hurricane, earthquake and wildfire perils is approximately $3.1 billion, net of reinsurance. We continually review our aggregate risk appetite and the cost and availability of reinsurance to optimize the risk and return profile of this exposure. The total cost of our property catastrophe reinsurance programs, excluding reinstatement premiums, during the third quarter and first nine months of 2025 was $352 million and $914 million, respectively, compared to $298 million and $880 million in the third quarter and first nine months of 2024. Catastrophe placement premiums reduce net written and earned premium with approximately 82% of the reduction related to homeowners premium. Prior year reserve reestimates Reserve reestimates, including catastrophes, decreased reserves by $570 million and $1.20 billion in the third quarter and first nine months of 2025, respectively. Reserve reestimates primarily related to favorable severity development of $284 million and $565 million in personal auto injury coverage and $196 million and $568 million in personal auto physical damage coverage in the third quarter and first nine months of 2025, respectively. 56 www.allstate.com Allstate Protection Segment Results For a more detailed discussion on reinsurance and reserve reestimates, see Note 9 of the condensed consolidated financial statements. Prior year reserve reestimates Three months ended September 30, Nine months ended September 30, Prior year reserve reestimates (1) Effect on combined ratio (2) Prior year reserve reestimates (1) Effect on combined ratio (2) ($ in millions, except ratios) 2025 2024 2025 2024 2025 2024 2025 2024 Auto $ (483) $ (65) (3.3) (0.5) $ (1,163) $ (319) (2.7) (0.8) Homeowners (54) (12) (0.4) (0.1) (32) (392) (0.1) (1.0) Other personal lines 66 51 0.5 0.4 142 164 0.3 0.4 Commercial lines (85) 1 (0.6) — (104) 159 (0.2) 0.4 Other business lines (14) (3) (0.1) — (39) 1 (0.1) — Total Allstate Protection $ (570) $ (28) (3.9) (0.2) $ (1,196) $ (387) (2.8) (1.0) (1) Reserve releases are shown in parentheses. (2) Ratios are calculated using Allstate Protection premiums earned. Expense ratio increased 0.3 points and increased 0.2 points in the third quarter and first nine months of 2025, respectively, compared to the same periods of 2024, primarily due to an increase in advertising costs, higher expenses for lender-placed business and lower fees on involuntary auto policies included in other revenue, partially offset by higher earned premium growth relative to costs. Impact of specific costs and expenses on the expense ratio Three months ended September 30, Nine months ended September 30, ($ in millions, except ratios) 2025 2024 Change 2025 2024 Change Amortization of DAC $ 1,757 $ 1,696 $ 61 $ 5,231 $ 4,977 $ 254 Advertising expense 575 519 56 1,540 1,204 336 Other costs and expenses, net of other revenue 780 659 121 2,207 2,055 152 Amortization of purchased intangibles 46 52 (6) 138 154 (16) Restructuring and related charges 15 23 (8) 44 45 (1) Total underwriting expenses $ 3,173 $ 2,949 $ 224 $ 9,160 $ 8,435 $ 725 Premiums earned $ 14,533 $ 13,694 $ 839 $ 42,906 $ 39,933 $ 2,973 Expense ratio Amortization of DAC 12.1 12.4 (0.3) 12.2 12.5 (0.3) Advertising expense 4.0 3.8 0.2 3.6 3.0 0.6 Other costs and expenses, net of other revenue 5.3 4.8 0.5 5.1 5.1 — Subtotal 21.4 21.0 0.4 20.9 20.6 0.3 Amortization of purchased intangibles 0.3 0.4 (0.1) 0.3 0.4 (0.1) Restructuring and related charges 0.1 0.1 — 0.1 0.1 — Total expense ratio 21.8 21.5 0.3 21.3 21.1 0.2 Third Quarter 2025 Form 10-Q 57 Segment Results Run-off Property-Liability Run-off Property-Liability Segment Underwriting results ($ in millions) Three months ended September 30, Nine months ended September 30, 2025 2024 2025 2024 Claims and claims expense Asbestos claims $ (62) $ (19) $ (62) $ (19) Environmental claims (27) (10) (27) (10) Other run-off lines (57) (30) (62) (36) Total claims and claims expense $ (146) $ (59) $ (151) $ (65) Operating costs and expenses — (1) (2) (3) Underwriting loss $ (146) $ (60) $ (153) $ (68) Annual reserve review In the third quarter of 2025 and 2024, we performed our annual reserve review using established industry and actuarial best practices. The annual review resulted in reserve reestimates that increased reserves by $146 million and $58 million in 2025 and 2024, respectively. The reserve reestimates are included as part of claims and claims expense. The reserve reestimates in 2025 primarily related to new reported information for asbestos claims, new reported claims for environmental and other mass tort claims and increased projections for claims expenses. The reserve reestimates in 2024 primarily related to new reported information for asbestos related claims and adverse developments within the other run-off lines. We believe that our reserves are appropriately established based on available facts, technology, laws, regulations, and assessments of other pertinent factors and characteristics of exposure (e.g., claim activity, potential liability, jurisdiction, products versus non-products exposure) presented by individual policyholders, assuming no change in the legal, legislative or economic environment. However, as we progress with the resolution of disputed claims in the courts and arbitrations and with negotiations and settlements, our reported losses may be more variable. Reserves for asbestos, environmental and other run-off claims before and after the effects of reinsurance ($ in millions) September 30, 2025 December 31, 2024 Asbestos claims Gross reserves $ 1,125 $ 1,124 Reinsurance (335) (350) Net reserves 790 774 Environmental claims Gross reserves 322 320 Reinsurance (59) (61) Net reserves 263 259 Other run-off claims Gross reserves 461 439 Reinsurance (38) (58) Net reserves 423 381 Total Gross reserves 1,908 1,883 Reinsurance (432) (469) Net reserves $ 1,476 $ 1,414 58 www.allstate.com Run-off Property-Liability Segment Results Reserves by type of exposure before and after the effects of reinsurance ($ in millions) September 30, 2025 December 31, 2024 Direct excess commercial insurance Gross reserves $ 1,095 $ 1,082 Reinsurance (351) (363) Net reserves 744 719 Assumed reinsurance coverage Gross reserves 604 581 Reinsurance (55) (54) Net reserves 549 527 Direct primary commercial insurance Gross reserves 100 133 Reinsurance (25) (51) Net reserves 75 82 Unallocated loss adjustment expenses Gross reserves 109 87 Reinsurance (1) (1) Net reserves 108 86 Total Gross reserves 1,908 1,883 Reinsurance (432) (469) Net reserves $ 1,476 $ 1,414 Percentage of gross and ceded reserves by case and incurred but not reported (“IBNR”) September 30, 2025 December 31, 2024 Case IBNR Case IBNR Direct excess commercial insurance Gross reserves (1) 58 % 42 % 58 % 42 % Ceded (2) 66 34 62 38 Assumed reinsurance coverage Gross reserves 33 67 34 66 Ceded 44 56 51 49 Direct primary commercial insurance Gross reserves 39 61 54 46 Ceded 73 27 87 13 (1) Approximately 65% of gross case reserves as of September 30, 2025 and December 31, 2024 are subject to settlement agreements that define and limit our obligations. (2) Approximately 72% of ceded case reserves as of September 30, 2025 and December 31, 2024 are subject to settlement agreements that define and limit our obligations. Gross payments from case reserves by type of exposure ($ in millions) Three months ended September 30, Nine months ended September 30, 2025 2024 2025 2024 Direct excess commercial insurance Gross (1) $ 14 $ 19 $ 74 $ 51 Ceded (2) (6) (7) (27) (20) Assumed reinsurance coverage Gross 21 6 37 33 Ceded (5) 1 (6) (1) Direct primary commercial insurance Gross 2 1 4 4 Ceded (1) (1) (2) (2) (1) In the third quarter and first nine months of 2025, 81% and 90% of payments related to settlement agreements, respectively, compared to 94% and 89% in the third quarter and first nine months of 2024, respectively. (2) In the third quarter and first nine months of 2025, 84% and 91% of payments related to settlement agreements, respectively, compared to 98% and 95% in the third quarter and first nine months of 2024, respectively. Third Quarter 2025 Form 10-Q 59 Segment Results Run-off Property-Liability Total net reserves as of September 30, 2025, included $773 million or 52% of estimated IBNR reserves compared to $723 million or 51% of estimated IBNR reserves as of December 31, 2024. Total gross payments were $37 million and $115 million for the third quarter and first nine months of 2025, respectively, compared to $26 million and $88 million for the third quarter and first nine months of 2024, respectively. Payments primarily related to settlement agreements reached with several insureds on large claims, mainly asbestos related losses, where the scope of coverages has been agreed upon. The claims associated with these settlement agreements are expected to be substantially paid out over the next several years as qualified claims are submitted by these insureds. Reinsurance collections were $9 million and $25 million for the third quarter and first nine months of 2025, respectively, compared to $5 million and $31 million for the third quarter and first nine months of 2024, respectively. 60 www.allstate.com Protection Services Segment Results Protection Services Segment Summarized financial information ($ in millions) Three months ended September 30, Nine months ended September 30, 2025 2024 2025 2024 Premiums written $ 749 $ 678 $ 2,139 $ 1,981 Revenues Premiums $ 720 $ 639 $ 2,086 $ 1,864 Other revenue 124 110 363 293 Intersegment insurance premiums and service fees (1) 33 49 106 123 Net investment income 25 24 74 68 Costs and expenses Claims and claims expense (193) (166) (524) (481) Amortization of DAC (337) (304) (983) (889) Operating costs and expenses (310) (280) (909) (760) Restructuring and related charges (1) — (2) (1) Income tax expense on operations (16) (15) (51) (51) Less: noncontrolling interest (1) (1) (1) (1) Adjusted net income $ 46 $ 58 $ 161 $ 167 Protection Plans $ 34 $ 39 $ 130 $ 120 Roadside 12 10 34 29 Dealer Services 6 5 14 17 Identity Protection 2 3 5 6 Arity (8) 1 (22) (5) Adjusted net income $ 46 $ 58 $ 161 $ 167 Policies in force Protection Plans 163,451 156,818 Roadside 1,119 670 Dealer Services 3,681 3,703 Identity Protection 2,694 2,538 Policies in force as of September 30 (in thousands) 170,945 163,729 (1) Primarily related to Arity and Roadside and are eliminated in our condensed consolidated financial statements. Premiums written increased 10.5% or $71 million in the third quarter of 2025 and increased 8.0% or $158 million in the first nine months of 2025 compared to the same periods of 2024, primarily due to international growth at Protection Plans. Adjusted net income decreased 20.7% or $12 million in the third quarter of 2025 and decreased 3.6% or $6 million in the first nine months of 2025 compared to the same periods of 2024, primarily due to higher expenses at Arity and increased claims at Protection Plans, partially offset by premium growth at Protection Plans. PIF increased 4.4% or 7 million as of September 30, 2025 compared to September 30, 2024 due to growth at Protection Plans. Other revenue increased 12.7% or $14 million in the third quarter of 2025 and increased 23.9% or $70 million in the first nine months of 2025 compared to the same periods of 2024, primarily due to higher lead generation revenue at Arity. Intersegment premiums and service fees decreased 32.7% or $16 million in the third quarter of 2025 and decreased 13.8% or $17 million in the first nine months of 2025 compared to the same periods of 2024, primarily driven by Arity and Roadside. Claims and claims expense increased 16.3% or $27 million in the third quarter of 2025 and increased 8.9% or $43 million in the first nine months of 2025 compared to the same periods of 2024, primarily driven by growth at Protection Plans. Amortization of DAC increased 10.9% or $33 million in the third quarter of 2025 and increased 10.6% or $94 million in the first nine months of 2025 compared to the same periods of 2024, driven by growth at Protection Plans. Third Quarter 2025 Form 10-Q 61 Segment Results Protection Services Operating costs and expenses increased 10.7% or $30 million in the third quarter of 2025 and increased 19.6% or $149 million in the first nine months of 2025 compared to the same periods of 2024, primarily due to expenses related to growth at Protection Plans and Arity. 62 www.allstate.com Investments Investments Portfolio composition and strategy (1) September 30, 2025 ($ in millions) Property-Liability Protection Services Corporate and all other Total Fixed income securities (2) $ 51,615 $ 1,825 $ 3,746 $ 57,186 Equity securities (3) 4,430 406 502 5,338 Mortgage loans, net 831 — — 831 Limited partnership interests 9,205 — 8 9,213 Short-term investments (4) 7,292 270 1,181 8,743 Other investments, net 1,017 — — 1,017 Total $ 74,390 $ 2,501 $ 5,437 $ 82,328 Percent to total 90.4 % 3.0 % 6.6 % 100.0 % Market-based $ 64,298 $ 2,461 $ 5,208 $ 71,967 Performance-based 10,092 40 229 10,361 Total $ 74,390 $ 2,501 $ 5,437 $ 82,328 (1) Balances reflect the elimination of related-party investments between segments. (2) Fixed income securities are carried at fair value. Amortized cost, net for these securities was $51.19 billion, $1.81 billion, $3.73 billion and $56.73 billion for Property-Liability, Protection Services, Corporate and all other, and in total, respectively. (3) Equity securities are carried at fair value. The fair value of equity securities held as of September 30, 2025, was $395 million in excess of cost. These net gains were primarily concentrated in the technology, equity index funds and banking sectors. Equity securities include $1.34 billion of funds with underlying investments in fixed income and short-term securities as of September 30, 2025. (4) Short-term investments are carried at fair value. Investments totaled $82.33 billion as of September 30, 2025, increasing from $72.61 billion as of December 31, 2024, primarily due to operating and investment cash flows. Portfolio composition by investment strategy We utilize two primary strategies to manage risks and returns and to position our portfolio to take advantage of market opportunities while attempting to mitigate adverse effects. As strategies and market conditions evolve, the asset allocation may change. Market-based strategy seeks to deliver predictable earnings aligned to business needs and provide flexibility to adjust investment risk profile based on enterprise objectives and market opportunities primarily through public and private fixed income investments and public equity securities. Performance-based strategy seeks to deliver attractive risk-adjusted returns and supplement market risk with idiosyncratic risk primarily through investments in private equity, including infrastructure investments, and real estate with a majority being limited partnerships. These investments include investee level expenses, reflecting asset level operating expenses on directly held real estate and other consolidated investments. Macroeconomic impacts We continually monitor the macroeconomic environment through our integrated Enterprise Risk and Return Management framework. In the third quarter of 2025, we increased the allocation of enterprise economic capital to the investment portfolio in response to evolving market conditions. Actions included lengthening the fixed income portfolio duration and increasing exposure to public equity securities and high yield bonds. Third Quarter 2025 Form 10-Q 63 Investments Portfolio composition by investment strategy September 30, 2025 ($ in millions) Market- based Performance-based Total Fixed income securities $ 57,037 $ 149 $ 57,186 Equity securities 4,762 576 5,338 Mortgage loans, net 831 — 831 Limited partnership interests 232 8,981 9,213 Short-term investments 8,742 1 8,743 Other investments, net 363 654 1,017 Total $ 71,967 $ 10,361 $ 82,328 Percent to total 87.4 % 12.6 % 100.0 % Unrealized net capital gains and losses Fixed income securities $ 454 $ — $ 454 Other investments (2) — (2) Total $ 452 $ — $ 452 Fixed income securities Fixed income securities by type Fair value as of ($ in millions) September 30, 2025 December 31, 2024 U.S. government and agencies $ 13,525 $ 11,108 Municipal 6,226 8,842 Corporate 32,880 30,192 Foreign government 1,435 1,364 Asset-backed securities (“ABS”) 986 1,145 Mortgage-backed securities (“MBS”) 2,134 96 Total fixed income securities $ 57,186 $ 52,747 Fixed income securities are rated by third-party credit rating agencies or are internally rated. The Securities Valuation Office (“SVO”) of the National Association of Insurance Commissioners (“NAIC”) evaluates the fixed income securities of insurers for regulatory reporting and capital assessment purposes. The NAIC assigns securities to one of six credit quality categories defined as “NAIC designations”. In general, securities with NAIC designations of 1 and 2 are considered investment grade and securities with NAIC designations of 3 through 6 are considered below investment grade. The rating is either received from the SVO based on availability of applicable ratings from rating agencies on the NAIC Nationally Recognized Statistical Rating Organizations provider list, including Moody’s Investors Service (“Moody’s”), S&P Global Ratings (“S&P”), Fitch Ratings or a comparable internal rating. As a result of time lags between the funding of investments, the finalization of legal documents, and the completion of the SVO filing process, the portfolio includes certain securities that have not yet been designated by the SVO as of each balance sheet date and the categorization of these securities is based on the expected ratings indicated by internal analysis . As of September 30, 2025, 91.5% of the consolidated fixed income securities portfolio was rated investment grade. Credit ratings below these designations are considered lower credit quality or below investment grade, which includes high yield bonds. Market prices for certain securities may have credit spreads which imply higher or lower credit quality than the current third-party rating. Our initial investment decisions and ongoing monitoring procedures for fixed income securities are based on a due diligence process which includes, but is not limited to, an assessment of the credit quality, sector, structure and liquidity risks of each issuer. Fixed income portfolio monitoring is a comprehensive process to identify and evaluate each fixed income security that may require a credit loss allowance. The process includes a quarterly review of all securities to identify instances where the fair value of a security compared to its amortized cost is below internally established thresholds. For further detail on our fixed income portfolio monitoring process, see Note 5 of the condensed consolidated financial statements. The following table presents total fixed income securities by the applicable NAIC designation and comparable S&P rating. 64 www.allstate.com Investments Fair value and unrealized net capital gains (losses) for fixed income securities by credit rating September 30, 2025 NAIC 1 NAIC 2 NAIC 3 A and above BBB BB ($ in millions) Fair value Unrealized gain (loss) Fair value Unrealized gain (loss) Fair value Unrealized gain (loss) U.S. government and agencies $ 13,525 $ 35 $ — $ — $ — $ — Municipal 6,094 (32) 130 (1) — — Corporate Public 6,677 116 14,552 137 554 5 Privately placed 2,851 30 4,018 51 2,433 31 Total corporate 9,528 146 18,570 188 2,987 36 Foreign government 1,435 13 — — — — ABS 880 1 33 — 25 — MBS 2,134 32 — — — — Total fixed income securities $ 33,596 $ 195 $ 18,733 $ 187 $ 3,012 $ 36 NAIC 4 NAIC 5-6 Total B CCC and lower Fair value Unrealized gain (loss) Fair value Unrealized gain (loss) Fair value Unrealized gain (loss) U.S. government and agencies $ — $ — $ — $ — $ 13,525 $ 35 Municipal — — 2 1 6,226 (32) Corporate Public 104 1 — — 21,887 259 Privately placed 1,560 27 131 (2) 10,993 137 Total corporate 1,664 28 131 (2) 32,880 396 Foreign government — — — — 1,435 13 ABS 1 — 47 9 986 10 MBS — — — — 2,134 32 Total fixed income securities $ 1,665 $ 28 $ 180 $ 8 $ 57,186 $ 454 Municipal bonds , including tax-exempt and taxable securities, include general obligations of state and local issuers and revenue bonds. Corporate bonds include publicly traded and privately placed securities. Privately placed securities primarily consist of corporate issued senior debt securities that are negotiated with the borrower or are issued by public entities in unregistered form. ABS includes collateralized debt obligations, consumer and other ABS. Credit risk is managed by monitoring the performance of the underlying collateral. Many of the securities in the ABS portfolio have credit enhancement with features such as overcollateralization, subordinated structures, reserve funds, guarantees or insurance. MBS includes residential mortgage-backed securities (“RMBS”) and commercial mortgage-backed securities (“CMBS”). RMBS is subject to interest rate risk, but unlike other fixed income securities, is additionally subject to prepayment risk from the underlying residential mortgage loans. RMBS primarily consists of a U.S. Agency portfolio having collateral issued or guaranteed by U.S. government agencies. CMBS investments are primarily traditional conduit transactions collateralized by commercial mortgage loans, broadly diversified across property types and geographical area. Equity securities of $5.34 billion primarily include common stocks, exchange traded and mutual funds, non-redeemable preferred stocks and REITs. Exchange traded and mutual funds that have fixed income and short-term securities as their underlying investments total $1.34 billion as of September 30, 2025. Sector exposure within exchange traded and mutual funds align with the respective tracked indices. Mortgage loans of $831 million comprise loans secured by first mortgages on developed commercial real estate of $680 million and residential mortgage loans of $151 million. Key considerations used to manage our exposure include property type and geographic diversification. For further detail on our mortgage loan portfolio, see Note 5 of the condensed consolidated financial statements. Limited partnership interests include $7.52 billion of interests in private equity funds, $1.47 billion of interests in real estate funds and $232 million of interests in other funds as of September 30, 2025. We have commitments to invest additional amounts in limited partnership interests totaling $3.26 billion as of September 30, 2025. Other investments include $383 million of bank loans, net and $621 million of direct investments in real estate as of September 30, 2025. Third Quarter 2025 Form 10-Q 65 Investments Unrealized net capital gains (losses) September 30, December 31, ($ in millions) 2025 2024 U.S. government and agencies $ 35 $ (315) Municipal (32) (143) Corporate 396 (438) Foreign government 13 12 ABS 10 15 MBS 32 — Fixed income securities 454 (869) Short-term investments — (2) Derivatives (2) (2) Investments classified as held for sale — (110) Unrealized net capital gains and losses, pre-tax $ 452 $ (983) Gross unrealized gains (losses) on fixed income securities by type and sector ($ in millions) Amortized cost, net Gross unrealized Fair value Gains Losses September 30, 2025 Corporate Banking $ 4,335 $ 98 $ (19) $ 4,414 Basic industry 1,097 19 (8) 1,108 Capital goods 2,996 66 (26) 3,036 Communications 2,268 48 (20) 2,296 Consumer goods (cyclical and non-cyclical) 6,905 132 (57) 6,980 Energy 2,806 61 (16) 2,851 Financial services 2,752 45 (25) 2,772 Technology 3,469 53 (41) 3,481 Transportation 756 15 (5) 766 Utilities 4,617 112 (31) 4,698 Other 483 7 (12) 478 Total corporate fixed income portfolio 32,484 656 (260) 32,880 U.S. government and agencies 13,490 55 (20) 13,525 Municipal 6,258 67 (99) 6,226 Foreign government 1,422 23 (10) 1,435 ABS 976 13 (3) 986 MBS 2,102 34 (2) 2,134 Total fixed income securities $ 56,732 $ 848 $ (394) $ 57,186 December 31, 2024 Corporate Banking $ 4,194 $ 38 $ (63) $ 4,169 Basic industry 833 6 (21) 818 Capital goods 2,706 25 (62) 2,669 Communications 2,364 16 (73) 2,307 Consumer goods (cyclical and non-cyclical) 6,674 51 (165) 6,560 Energy 2,771 32 (50) 2,753 Financial services 2,104 17 (53) 2,068 Technology 2,613 18 (94) 2,537 Transportation 815 7 (19) 803 Utilities 5,125 56 (89) 5,092 Other 431 6 (21) 416 Total corporate fixed income portfolio 30,630 272 (710) 30,192 U.S. government and agencies 11,423 15 (330) 11,108 Municipal 8,985 33 (176) 8,842 Foreign government 1,352 22 (10) 1,364 ABS 1,130 19 (4) 1,145 MBS 96 — — 96 Total fixed income securities $ 53,616 $ 361 $ (1,230) $ 52,747 66 www.allstate.com Investments In general, gross unrealized losses are related to an increase in market yields, which may include increased risk-free interest rates and wider credit spreads since the time of initial purchase. Similarly, gross unrealized gains reflect a decrease in market yields since the time of initial purchase. Equity securities by sector September 30, 2025 December 31, 2024 ($ in millions) Cost Over (under) cost Fair value Cost Over (under) cost Fair value Banking $ 157 $ 43 $ 200 $ 119 $ 41 $ 160 Basic industry 50 5 55 39 (2) 37 Capital goods 222 8 230 201 (23) 178 Communications 188 35 223 142 25 167 Consumer goods 551 (5) 546 462 (25) 437 Energy 99 7 106 88 1 89 Financial services 203 15 218 332 6 338 REITs 128 29 157 159 17 176 Technology 1,019 173 1,192 746 88 834 Transportation 23 3 26 27 1 28 Utilities 109 6 115 92 1 93 Other 8 (3) 5 6 (2) 4 Directly held equity securities 2,757 316 3,073 2,413 128 2,541 Funds Equities 856 66 922 1,077 22 1,099 Fixed income and short-term 1,328 13 1,341 838 (16) 822 Other 2 — 2 1 — 1 Total funds 2,186 79 2,265 1,916 6 1,922 Total equity securities $ 4,943 $ 395 $ 5,338 $ 4,329 $ 134 $ 4,463 Net investment income Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Fixed income securities $ 634 $ 587 $ 1,844 $ 1,684 Equity securities 19 17 56 50 Mortgage loans 11 9 30 27 Limited partnership interests 226 138 494 440 Short-term investments 104 87 273 216 Other investments 26 25 71 71 Investment income, before expense 1,020 863 2,768 2,488 Investment expense Investee level expenses (13) (12) (34) (36) Securities lending expense (21) (28) (64) (80) Operating costs and expenses (37) (40) (113) (113) Total investment expense (71) (80) (211) (229) Net investment income $ 949 $ 783 $ 2,557 $ 2,259 Market-based $ 780 $ 708 $ 2,232 $ 2,001 Performance-based 240 155 536 487 Investment income, before expense $ 1,020 $ 863 $ 2,768 $ 2,488 Net investment income increased 21.2% or $166 million in the third quarter of 2025 and increased 13.2% or $298 million in the first nine months of 2025 compared to the same periods of 2024. Net investment income increase included higher market-based income resulting from higher average investment balances and elevated fixed income yields. Performance-based investment results reflected broad-based valuation gains across private equity and real estate holdings. Third Quarter 2025 Form 10-Q 67 Investments Performance-based investment income Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Private equity $ 197 $ 130 $ 374 $ 445 Real estate 43 25 162 42 Total performance-based income before investee level expenses $ 240 $ 155 $ 536 $ 487 Investee level expenses (1) (13) (12) (34) (36) Total performance-based income $ 227 $ 143 $ 502 $ 451 (1) Investee level expenses include asset level operating expenses on directly held real estate and other consolidated investments reported in investment expense. Performance-based investment income increased 58.7% or $84 million in the third quarter of 2025 compared to the same period of 2024, related to higher private equity valuation increases and real estate investment results. Performance-based investment income increased 11.3% or $51 million in the first nine months of 2025 compared to the same period of 2024, primarily due to higher real estate investment results, partially offset by lower private equity valuation increases. Performance-based investment results and income can vary significantly between periods and are influenced by economic conditions, equity market performance, comparable public company earnings multiples, capitalization rates, operating performance of the underlying investments and the timing of asset sales. The Company typically employs a lag in recording and recognizing changes in valuations of limited partnership interests due to the availability of investee financial statements. As a result, performance-based income in the third quarter of 2025 is primarily comprised of operating and market performance and results of our investments for the three months ended June 30, 2025, and may not reflect all economic conditions since the U.S.’s imposition of tariffs on goods imported to the U.S. Components of net gains (losses) on investments and derivatives and the related tax effect Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Sales $ 69 $ 116 $ (313) $ (85) Credit losses (1) (23) (12) (103) (143) Valuation change of equity investments - appreciation (decline): Equity securities 175 89 221 175 Equity fund investments in fixed income securities and short-term investments 16 30 22 20 Limited partnerships (2) 9 — 10 12 Total valuation of equity investments 200 119 253 207 Valuation change and settlements of derivatives 6 20 (78) (3) Net gains (losses) on investments and derivatives, pre-tax 252 243 (241) (24) Income tax (expense) benefit (56) (54) 49 4 Net gains (losses) on investments and derivatives, after-tax $ 196 $ 189 $ (192) $ (20) Market-based (1) $ 222 $ 231 $ (267) $ (53) Performance-based 30 12 26 29 Net gains (losses) on investments and derivatives, pre-tax $ 252 $ 243 $ (241) $ (24) (1) 2025 includes losses recorded for variable interests in Reciprocal Exchanges. 2024 includes losses related to the carrying value of surplus notes issued by Reciprocal Exchanges. See Note 8 for further details. (2) Relates to limited partnerships where the underlying assets are predominately public equity securities. Net gains on investments and derivatives in the third quarter of 2025 primarily related to valuation increases on equity investments and gains on sales of fixed income securities. Net losses in the first nine months of 2025 primarily related to losses on sales of fixed income securities, credit losses primarily related to variable interests in Reciprocal Exchanges and certain real estate-related investments and losses on valuation change and settlements of derivatives, partially offset by valuation increases on equity investments. Net gains on sales in the third quarter of 2025 related to sales of fixed income securities in connection with ongoing portfolio management and repositioning of the portfolio into intermediate-duration fixed income securities. Net losses on sales in the first nine months of 2025 related to sales of fixed income securities in connection with risk reduction and repositioning in the second and third quarters and ongoing portfolio management. Net gains on valuation change and settlements of derivatives of $6 million in the third quarter of 2025 primarily related to gains on foreign currency contracts 68 www.allstate.com Investments used to manage foreign currency and interest rate futures used to manage duration. Net losses of $78 million in the first nine months of 2025 primarily related to losses on foreign currency contracts used to manage foreign currency, credit default contracts due to tightening credit spreads, equity futures used to manage equity exposure and interest rate futures used to manage duration. Net gains (losses) on performance-based investments and derivatives Three months ended September 30, Nine months ended September 30, ($ in millions) 2025 2024 2025 2024 Sales $ (38) $ 8 $ (41) $ 6 Credit losses (17) (7) (28) (28) Valuation change of equity investments 79 34 145 60 Valuation change and settlements of derivatives 6 (23) (50) (9) Total performance-based $ 30 $ 12 $ 26 $ 29 Net gains on performance-based investments and derivatives in the third quarter of 2025 primarily related to valuation gains on equity investments, partially offset by losses on sales. Net gains on performance-based investments and derivatives in the first nine months of 2025 primarily related to valuation gains on equity investments, partially offset by decreased valuation change and settlements of derivatives from losses on foreign currency contracts used to manage foreign currency risk and losses on sales. Third Quarter 2025 Form 10-Q 69 Capital Resources and Liquidity Capital Resources and Liquidity Capital resources consist of shareholders’ equity and debt, representing funds deployed or available to be deployed to support business operations or for general corporate purposes. Capital resources ($ in millions) September 30, 2025 December 31, 2024 Preferred stock, common stock, treasury stock, retained income and other shareholders’ equity items $ 27,207 $ 22,331 Accumulated other comprehensive income (loss) 298 (889) Total Allstate shareholders’ equity 27,505 21,442 Debt (1) 8,089 8,085 Total capital resources $ 35,594 $ 29,527 Ratio of debt to Allstate shareholders’ equity 29.4 % 37.7 % Ratio of debt to capital resources 22.7 27.4 (1) Net of debt issuance costs of $52 million and $56 million as of September 30, 2025 and December 31, 2024, respectively. Allstate shareholders’ equity increased in the first nine months of 2025, primarily due to net income and an increase in unrealized net capital gains on investments in 2025, partially offset by common share repurchases and dividends to shareholders. In the nine months ended September 30, 2025, we paid dividends of $773 million and $88 million related to our common and preferred shares, respectively. Debt maturities We have $600 million of debt that is scheduled to mature in December 2025. Debt maturities for each of the next five years and thereafter (excluding issuance costs) ($ in millions) 2026 $ 550 2027 — 2028 — 2029 500 2030 600 Thereafter 5,891 Total long-term debt principal $ 7,541 Common share repurchases On February 26, 2025, the Board of Directors authorized a new $1.50 billion common share repurchase program that must be completed by September 30, 2026. As of September 30, 2025, there was $695 million remaining in the $1.50 billion common share repurchase program. During the first nine months of 2025, we repurchased 4.0 million common shares, or 1.5% of total common shares outstanding at December 31, 2024, for $805 million. Common shareholder dividends On January 2, 2025, April 1, 2025 and July 1, 2025, we paid a common shareholder dividend of $0.92, $1.00 and $1.00, respectively. On July 15, 2025, we declared a common shareholder dividend of $1.00 payable on October 1, 2025. Financial ratings and strength Our ratings are influenced by many factors including our operating and financial performance, asset quality, liquidity, overall portfolio mix, financial leverage (i.e., debt), exposure to risks such as catastrophes and the current level of operating leverage. The preferred stock and subordinated debentures are viewed as having a common equity component by certain rating agencies and are given equity credit up to a pre-determined limit in our capital structure as determined by their respective methodologies. These respective methodologies consider the existence of certain terms and features in the instruments such as the noncumulative dividend feature in the preferred stock. In May 2025, Moody’s affirmed The Allstate Corporation’s (the “Corporation”) senior debt and short-term issuer ratings of A3 and P-2, respectively, and Allstate Insurance Company’s (“AIC”) insurance financial strength rating of Aa3. The outlook for the ratings changed from negative to stable. In May 2025, S&P affirmed the Corporation's senior debt and short-term issuer ratings of BBB+ and A-2, respectively, and AIC's insurance financial strength rating of A+. The outlook for the ratings is stable. In August 2025, A.M. Best affirmed the Corporation’s senior debt and short-term issuer ratings of a- and AMB-1, respectively, and AIC’s insurance financial strength rating of A+. The outlook for the ratings is stable. Liquidity sources and uses We actively manage our financial position and liquidity levels in light of changing market, economic and business conditions. Liquidity is managed at both the entity and enterprise level across the Company and is assessed on both base and stressed level liquidity needs. We believe we have sufficient liquidity to meet these needs. As of September 30, 2025, we held $27.85 billion of cash, U.S. government and agencies fixed income securities, public equity securities and short-term investments, which we would expect to be able to liquidate within one week. Additionally, we have existing intercompany agreements in place that facilitate liquidity management across the Company to enhance flexibility. The Corporation is party to an Amended and Restated Intercompany Liquidity Agreement (“Liquidity Agreement”) with certain subsidiaries, which includes, but is not limited to AIC. The Liquidity Agreement allows for short-term advances of funds to be made between parties for liquidity and other general 70 www.allstate.com Capital Resources and Liquidity corporate purposes. The Liquidity Agreement does not establish a commitment to advance funds on the part of any party. AIC serves as a lender and borrower, certain other subsidiaries serve only as borrowers, and the Corporation serves only as a lender. The maximum amount of potential funding under each of these agreements is $1.00 billion. In addition to the Liquidity Agreement, the Corporation also has an intercompany loan agreement with certain of its subsidiaries, which includes, but is not limited to, AIC. The amount of intercompany loans available to the Corporation’s subsidiaries is at the discretion of the Corporation. The maximum amount of loans the Corporation will have outstanding to all its eligible subsidiaries at any given point in time is limited to $1.00 billion. The Corporation may use commercial paper borrowings, bank lines of credit and securities lending to fund intercompany borrowings. Parent company capital capacity At the parent holding company level, we have deployable assets totaling $5.54 billion as of September 30, 2025, primarily comprised of cash and short-term, fixed income and equity securities that are generally saleable within one quarter. The proceeds from the EVB and group health dispositions increased deployable assets at the parent holding company level. The earnings capacity of the operating subsidiaries is the primary source of capital generation for the Corporation. Based on the greater of 2024 statutory net income or 10% of actual December 31, 2024 statutory surplus, the maximum amount of dividends that AIC will be able to pay, without prior Illinois Department of Insurance approval, at a given point in time through February 2026, is estimated to be $3.95 billion, less dividends paid during the preceding twelve months measured at that point in time. In the first nine months of 2025, $750 million of dividends have been paid. Dividends may not be paid or declared on our common stock and shares of common stock may not be repurchased unless the full dividends for the latest completed dividend period on our preferred stock have been declared and paid or provided for. The terms of our outstanding subordinated debentures also prohibit us from declaring or paying any dividends or distributions on our common or preferred stock or redeeming, purchasing, acquiring, or making liquidation payments on our common stock or preferred stock if we have elected to defer interest payments on the subordinated debentures, subject to certain limited exceptions. In the first nine months of 2025, we did not defer interest payments on the subordinated debentures. Additional resources to support liquidity are as follows: • The Corporation and AIC have access to a $750 million unsecured revolving credit facility that is available for short-term liquidity requirements. The maturity date of this facility is November 2027. The facility is fully subscribed among 11 lenders with the largest commitment being $95 million. The commitments of the lenders are several and no lender is responsible for any other lender’s commitment if such lender fails to make a loan under the facility. This facility contains an increase provision that would allow up to an additional $500 million of borrowing, subject to the lenders’ commitment. This facility has a financial covenant requiring that we not exceed a 37.5% debt to capitalization ratio as defined in the agreement. This ratio was 17.9% as of September 30, 2025. Although the right to borrow under the facility is not subject to a minimum rating requirement, the costs of maintaining the facility and borrowing under it are based on the ratings of our senior unsecured, unguaranteed long-term debt. There were no borrowings under the credit facility during 2025. • To cover short-term cash needs, the Corporation has access to a commercial paper facility with a borrowing capacity limited to any undrawn credit facility balance up to $750 million. As of September 30, 2025, there were no balances outstanding for the credit facility or the commercial paper facility, and therefore the remaining borrowing capacity was $750 million. • The Corporation has access to a universal shelf registration statement with the Securities and Exchange Commission that was filed on April 30, 2024 and expires in 2027. We can use this shelf registration to issue an unspecified amount of debt securities, common stock (including 638 million shares of treasury stock as of September 30, 2025), preferred stock, depositary shares, warrants, stock purchase contracts and stock purchase units. The specific terms of any securities we issue under this registration statement will be provided in the applicable prospectus supplements. Third Quarter 2025 Form 10-Q 71 Forward-Looking Statements This report contains “forward-looking statements” that anticipate results based on our estimates, assumptions and plans that are subject to uncertainty. These statements are made subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements do not relate strictly to historical or current facts and may be identified by their use of words like “plans,” “seeks,” “expects,” “will,” “should,” “anticipates,” “estimates,” “intends,” “believes,” “likely,” “targets” and other words with similar meanings. These statements may address, among other things, our strategy for growth, catastrophe exposure management, product development, investment results, regulatory approvals, market position, expenses, financial results, litigation and reserves. We believe that these statements are based on reasonable estimates, assumptions and plans. Forward-looking statements speak only as of the date on which they are made, and we assume no obligation to update any forward-looking statements resulting from new information or future events or developments. In addition, forward-looking statements are subject to certain risks or uncertainties that could cause actual results to differ materially from those communicated in these forward-looking statements. Factors that could cause actual results to differ materially from those expressed in, or implied by, the forward-looking statements include risks related to: Insurance and Financial Services (1) actual claim costs exceeding current reserves; (2) unexpected increases in claim frequency or severity; (3) catastrophes and severe weather events; (4) limitations in analytical models used for loss cost estimates; (5) price competition and changes in regulation and underwriting standards; (6) regulatory limitations on rate increases and requirements to underwrite business and participate in loss sharing arrangements; (7) market risk and declines in credit quality of our investment portfolios; (8) economic and capital market conditions affecting investments; (9) subjective determination of fair value and amount of credit losses for investments; (10) participation in indemnification programs, including state industry pools and facilities; (11) inability to mitigate the impact associated with changes in capital requirements; (12) a downgrade in financial strength ratings; Business, Strategy and Operations (13) operations in markets that are highly competitive; (14) changing consumer preferences; (15) new or changing technologies impacting the business; (16) inability to successfully deploy new technologies; (17) Transformative Growth strategy; (18) catastrophe management strategy; (19) restrictions on our subsidiaries’ ability to pay dividends; (20) restrictions under terms of some of our securities on the ability to pay dividends or repurchase stock; (21) the availability and cost of reinsurance; (22) counterparty risk related to reinsurance; (23) acquisitions and divestitures of businesses; (24) intellectual property infringement, misappropriation and third-party claims; (25) reliance on vendors for products, services or protection of data and information; (26) inability to attract, develop and retain talent; Macro, Regulatory and Risk Environment (27) conditions in the global economy and capital markets, including changes in U.S. trade and tariff policy, new or additional U.S. and responsive non-U.S. tariffs, and our ability to plan for and respond to the impact of those changes; (28) restrictions on liquidity or availability of credit on acceptable terms; (29) a large-scale pandemic, the occurrence of terrorism, military actions or political and social unrest or other disruptive or destabilizing events; (30) the failure in cyber or other information security controls; (31) failure of business continuity following a disaster or other event; (32) changing climate and weather conditions; (33) evolving environmental, social and governance standards and expectations; (34) evolving privacy and data security regulations and increased focus on enforcement; (35) failure to manage risk and to timely detect and mitigate a cybersecurity event; (36) restrictive regulations and uncertainty around the interpretation and implementation of regulations in the U.S. and internationally; (37) regulatory reforms and enforcement of existing regulations; (38) losses from legal and regulatory actions; (39) changes in or the application of accounting standards and changes in tax laws; and (40) misconduct or fraudulent acts by employees, agents and third parties. Additional information concerning these and other factors may be found in our filings with the Securities and Exchange Commission, including the “Risk Factors” section in our most recent annual report on Form 10-K.