ALLSTATE: NO NEW RISKS IN CONN., N.J. AND DEL.

Allstate Insurance Co., continuing its reappraisal of its hurricane loss exposure along the East Coast, has decided to stop writing new property insurance policies in all areas of Connecticut, New Jersey and Delaware.

The stoppage applies to the writing of new homeowners, condominium, mobile home and landlord policies. It does not affect policies for renters. It also does not affect renewal business on homeowners or any of these lines. The underwriting change goes into effect in January in Delaware and February in the other two states.

Company spokespeople said the move reflects the need for the insurer to reduce its exposure in areas where hurricane risk models show major storms are most likely to hit and cause damage.

"The company wants to be responsible and be able to stay in the marketplace, noted Donna Picciocchi, media contact for Allstate in Connecticut.

"Given trends over the past several years of more powerful and frequent hurricanes, we believe we are taking responsible actions to ensure we can continue to help protect the assets of our millions of customers," commented Debbie Pickford, Capital Region corporate relations manager for Allstate.

She said Allstate agents in the three states will be able to refer new clients to independent insurance agencies that can offer policies from other companies.

Allstate is the largest homeowners writer in Connecticut, with 122,000 policyholders. The insurer currently writes about 230,000 homes in New Jersey and 13,700 in Delaware.

Earlier this year the insurer stopped selling new home policies in some coastal parts of New York. It has taken steps to reduce its exposure in the Gulf States and it also began dropping its sales of earthquake coverage nationwide.

MASS. AUTO RATES CUT 11.7%

As expected, auto insurance rates in Massachusetts will be going down again in 2007, this time by as much as 11.7 percent on average statewide.

The new rate takes effect April 1, 2007, and translates to an average decrease of $119.61 per vehicle and a statewide average annual rate of $898.12.

This is the third consecutive year that rates have been cut by Massachusetts Insurance Commissioner Julianne M. Bowler. This year's rate cut saves drivers $479 million and is the largest rate decrease since 1978, according to Bowler. Bowler approved an average 8.7 percent cut for 2006.

Bowler left the agents' commission dollar amount for 2007 at the same level as

2006 at $121.34 per vehicle, or about 13 percent per policy.