Allstate earned $9.76 a share in the third quarter, $2.79 more than expected, and its insurance margins held through a quarter of heavy storm losses. Revenue was $17.35B against $16.22B expected.

Tom Wilson, who leads Allstate, said earnings reflected strong underwriting margins on auto and homeowners insurance, higher investment income and continued growth in Protection Services. The core insurance book absorbed the storms.

The storms were costly. On October 15, Allstate put third-quarter catastrophe losses at $1.65bn before tax, or $1.30bn after tax. Investors had braced for that hit, and pricing and investment income more than offset it.

Growth in Protection Services gives Allstate a second source of earnings beside auto and homeowners insurance, the business that drew most concern through the summer's run of catastrophes.

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