NU Online News Service, April 19, 12:01 p.m.EDT

Allstate Corp. says it expects about $260 million in pretaxcatastrophe losses for the 2012 first quarter.

The bulk of the loss was in March, says the Northbrook,Ill.—based insurer, estimating $190 million in pretax catastrophelosses during the last month of the first quarter.

Tornadoes have dominated the headlines and caused much of theinsured catastrophe losses in the first quarter. March sawsignificant tornado events in Michigan, Indiana and Kentucky.

Grouping the three states together, Allstate is thethird-largest writer of homeowners' multi-peril and thethird-largest writer of private passenger auto insurance, accordingto SNL Financial.

Losses from 15 events during the first quarter actually totaled$420 million, which was offset by favorable reserve development onprior-year catastrophe losses, Allstate says.

Allstate Corp. ended 2011 with a fourth-quarter net income increase of $428 million to $724million but net income for the year dropped 15 percent to $788million.

The insurer used favorable reserve re-estimates to bring 2011fourth-quarter catastrophe losses to $66 million. Allstate says itincurred $216 million in losses from 19 events during the fourthquarter.

The company posted a combined ratio of 103.4 for 2011.