American National Analysis
What is American National?
Comprehensive insurance and retirement solutions provider
Location
One Moody Plaza, Galveston, Texas 77550, United States
Employees
1001-5000
Founded
1905
Industry
Property Insurance
Financial Performance
$4.39 billion
Market Share
0.28%
Product Features & Capabilities
- Life insurance
- Annuities
- Business insurance
- Farm and ranch insurance
- Auto insurance
Other Considerations
Founded in 1905; Operates in all 50 states; Rated A by A.M. Best
Exit Announcement Date
American National announced its decision to leave California on February 29, 2024.
Exit Reason
American National is leaving California primarily due to ongoing financial losses in the homeowners' insurance market. The company, based in Texas, has decided to stop offering homeowners' insurance in California and eight other states as part of a broader strategy to mitigate these losses. This decision reflects the challenging economic and regulatory environment in California, which has been marked by rising costs and increased competition in the insurance sector.
Impact On Customers
American National's exit from the homeowners insurance market in California will significantly impact its customers. The company has decided to withdraw its homeowners insurance products from all states, including California, following a previous announcement to exit the market in nine states. This withdrawal will occur in stages throughout the remainder of the year, meaning customers will need to seek alternative insurance providers as American National will no longer offer homeowners coverage. The company plans to focus on other lines of business, such as farm and ranch insurance and certain commercial lines, which may limit options for current homeowners insurance policyholders. Additionally, the exit may affect customer support and staffing levels, as some employees will be reassigned to support new growth initiatives.
Replacement Options
American National is exiting the life insurance business and has halted the sale of new life insurance policies. Customers affected by this exit may consider alternatives such as seeking coverage from other insurance providers that offer similar products. The company has not specified direct replacement options, but customers are encouraged to contact their agents or the company directly for guidance on transitioning to other insurance products or providers. Additionally, customers can explore the Client Portal on the American National website to manage their existing policies and find further assistance.
