Allstate Indemnity Company submitted a rate and rule filing on April 17, 2025, proposing a 9.3% average rate increase for its Condominium Homeowners program in Texas. The filing applies to the AI CON program and is set to take effect on April 28, 2025, for new business and June 12, 2025, for renewals.

The proposed rate change is driven by updates to the Rate Adjustment Factor and Reinsurance Rate Adjustment Factor. The filing impacts approximately 4,300 policyholders, resulting in a written premium change of \$354,000. Significant changes include re-rating wind and hail risk and updating modeled loss provisions for hurricanes and wildfires using Verisk models. The filing also incorporates an explicit provision for Winter Storm Uri, treating it as a 1-in-30-year catastrophic event.

This is the third consecutive year of rate increases for the product, following hikes of 7.1% in 2024 and 8.4% in 2023. The adjustments reflect rising reinsurance costs, increasing weather volatility, and evolving catastrophe modeling practices. Allstate uses third-party data from vendors like TransUnion, Aon, Verisk, and LexisNexis to inform key rating variables, including insurance score, reinsurance charge, town class factor, and claim history.