Letter from Senior VP of Corporate Responsibility

Allstate is a company with a clear purpose: Bring more good to peoples’ lives. We help our customers achieve their hopes and dreams by protecting them from life’s uncertainties and preparing them for the future. And we generously lend our financial support and human capital to create safer and stronger communities.

Individually and collectively, Allstaters are driven to live our brand promise: You’re in Good Hands with Allstate. We do this by always striving to do the right thing, putting people ahead of policies and defying expectations—delivering more than what people would expect from an insurance company. Those simple but powerful brand attributes guide our decisions, anchor our processes, and help us create innovative ways to bring more good to our customers and the world around us.

Allstate’s deep commitment to corporate responsibility is a natural extension of this intense focus on our customers, and it influences our interactions with other stakeholders, our business practices, the environment and society at large. We’re guided by goals established several years ago that have inspired us to significantly improve our corporate responsibility performance. In fact, we will raise the bar on many of our goals in 2014 to ensure we continue to challenge ourselves and maintain our standing as one of America’s leading corporate citizens.

We will raise the bar on many of our goals
 in 2014 to ensure we continue to challenge
ourselves and maintain our standing as
one of America's leading corporate citizens

Following are some key highlights of progress in 2013 across our focus areas of stakeholder engagement, responsible business practices, environmental stewardship and social impact initiatives: 

Stakeholders

  • Boosted satisfaction among employees: Received a favorable response from at least 75 percent of employees on 10 of 11 key measures of satisfaction.
  • Increased agency owner satisfaction with heightened support: Refocused efforts to support and enable the growth of local Allstate agencies, resulting in a 20-point increase in their satisfaction with the agency-company relationship.
  • Improved Allstate’s overall reputation from “average” to “strong” among all stakeholders: Elevated our focus on customer relationships and community involvement to help spur this increase, as measured by the Reputation Institute.
  • Advocated for our customers directly with Congress: Organized the first-ever Allstate Congressional Fly-in, which allowed our employees and agency owners to share local perspectives with elected officials on issues important to the customers we protect.

Business Practices

  • Made great progress toward our supplier diversity goal: Spent $409.6 million with diverse suppliers, or 8.3 percent of Allstate’s total annual procurement. We expect to meet our goal of spending 9 percent of Allstate’s total procurement on diverse businesses by the end of 2014, a year ahead of schedule.
  • Ranked among top companies for diversity: Included on the DiversityInc Top 50 Companies for Diversity® list for the third year in a row, reflecting our core value of inclusive diversity.
  • Maximized investments to deliver social impact: Maintained Allstate Investments’ nearly $1 billion commitment to socially responsible strategies, such as Low Income Housing Tax Credits and a program to help identify and develop minority- and women-owned private equity firms.
  • Leveraged big data to combat insurance fraud: Created predictive modeling algorithms through Allstate’s Quantitative Research & Analytics team to help identify and prevent claims fraud. Eliminating fraud is good for Allstate and for consumers who may benefit from lower premiums.

Environmental Stewardship

  • Delivered big-time paper cuts (the kind that don’t hurt!): Eliminated approximately 4.8 million paper documents through our eBill program.
  • Nearly achieved our long-term energy-reduction goal years ahead of plan: Reduced energy use in owned facilities by 10.87 percent versus 2012, and by 19.39 percent compared to our 2007 baseline, nearly reaching Allstate’s long-term goal to cut energy use 20 percent by 2020.
  • Continued strong performance in reducing Allstate’s carbon footprint: Lowered our footprint by 6.3 percent versus 2012 and nearly 27 percent since 2007.
  • Provided water filtration to curb plastic bottle waste: Kept more than 1 million plastic water bottles out of landfills, thanks to 168 water-filtration stations installed across Allstate facilities.

Social Impact

  • Engaged a record number of Allstaters in community programs: Involved 65 percent of Allstate employees and agency owners in these efforts in 2013.
  • Helped more teens stay safer on the road: Engaged more than 1.2 million teens in our Teen Safe Driving programs.
  • Broadened reach of our Domestic Violence program: Financially empowered more than 171,000 domestic violence survivors, helping women across the country achieve the self-sufficiency they need to get free and stay free from abuse.
  • Led new public-private effort to reduce violence in our hometown of Chicago: Helped launch—and continue to lead—a $50 million multiyear program to combat urban violence in the city with our sponsorship of Get In Chicago.
  • Prepared more Americans for natural disasters: Collaborated with Points of Light to equip 5,500 families in 14 cities with their own disaster-preparedness kits.

We’re proud of our 2013 accomplishments, and know there’s more to be done. In 2014, we’re launching efforts to integrate sustainability into our supply chain. This will allow us to more accurately measure supplier contributions to Allstate’s carbon footprint and create opportunity to reduce these impacts. It will also help us identify and eliminate risks within our value chain that might negatively impact Allstate and our ability to serve our stakeholders. We’re also accelerating efforts to reduce the amount of paper we send to customers. Thanks to new e-Business solutions, we’re not only improving our customers’ experience, we’re also reducing cost and minimizing our environmental impact.

We understand our commitment to corporate
responsibility is a journey with no definite finish line.
We’re in it for the long haul, and we learn
from every success and failure

Stakeholder engagement continues to play a critical role in informing our strategic direction and future actions. In 2014, we are re-engaging with our multi-stakeholder feedback team (organized by Ceres several years ago) to review our new climate change policy and help guide our future corporate responsibility reporting. We’ll also conduct a new sustainability materiality analysis to update our 2012 findings. This analysis highlights areas of opportunity and risk, and reflects issues of the highest concern to our stakeholders—issues that could significantly affect our ability to execute our business strategy.

We understand our commitment to corporate responsibility is a journey with no definite finish line. We’re in it for the long haul, and we learn from every success and failure. Fortunately, we have the benefit of 70,000 extraordinary employees, agency owners and agency staff to maximize our potential to truly be a force for good in society!

I hope you’ll take a few moments to explore our new report website to learn more about Allstate’s approach to corporate responsibility, as well as the stories that bring our efforts to life. I also encourage you to share comments and suggestions via email to SocialResonsibilityFeedback@allstate.com.
Thank you for your continued interest in Allstate.

Victoria Dinges Signature

Victoria Dinges
Senior Vice President, Corporate Responsibility

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