The Personal Lines Insurance industry is undergoing rapid and unprecedented challenges on multiple fronts. The impact of severe weather, inflation, regulatory headwinds, and increasing claims frequency has forced many of our competitors—even some of the largest carriers—to take actions no one could have predicted even just a few years ago.

In our own business, we continue to see our Personal Line (PL) results significantly underperform our plan in 2023. As of the first quarter, we reported a PL net operating loss of $31.3M that has deteriorated even further in Q2. In our most impacted states, our average homeowners combined ratio is 132.1% over the prior 3 ½ year period, and our personal auto combined ratio is 107.2% since the beginning of last year. Together, these loss drivers are negatively impacting our profitability and return on capital at a rate that is simply not sustainable.  

We will get through this difficult situation, but to do it, we must take urgent and specific actions to address rate adequacy, stop the compounding of our profitability concerns by adding underpriced risks, and reduce our exposure in unprofitable areas.

South Dakota: Suspension – Personal Auto New Business (Including Collector cars, Motor Homes, Camping Trailers, Travel Trailers, Motorcycle, Recreational Vehicles) and Watercraft

Effective 11/15/23, we are suspending the writing of Personal Auto new business in South Dakota. The only existing clients not subject to this are: Policy changes/endorsements; 5^th car applications; substitute vehicles; and added vehicles.

To clarify common questions regarding existing clients, the following are considered new business:

• A spin-off for a child OR a rewrite due to divorce (or other reason)
• An existing client moving from another state to SD

If an Agent submits a policy with an effective date of 11/15/2023 or later, the policy will be flat cancelled. 

South Dakota: Suspension – Homeowners/ROP New Business

Effective 8/1/23, we are suspending the writing of Homeowner/ROP new business in South Dakota in all zip codes. The only existing clients not subject to this are: Policy changes/endorsements.

To clarify common questions regarding existing clients, the following are considered new business:

• An existing client moving to another home in SD
• A rewrite due to divorce (or other reason)
• An existing client moving from another state to SD

This suspension applies to all Homeowner/ROP policy forms, including SH4 and SH6. 

If an Agent (prior to 7/31/2023) submits a policy with an effective date of 8/1/2023 or later, they will be processed. No requests to backdate effective dates will be approved.

Effective 8/1/23, no 1-4 Family Dwellings may be written as new business on the BOP in SD. Additional locations for existing profitable BOP accounts may be written.

South Dakota: Suspension – Personal Lines Umbrella



Effective 8/1/23, we are suspending the writing of Personal Lines Umbrella new business in South Dakota in all zip codes. We will allow Personal Lines Umbrellas to be written for existing customers who meet current Underwriting guidelines – no exceptions to guidelines. All underlying policies must be written with American National. 

Please note, the effective date for Personal Auto/Watercraft does differ from that of Homeowners/ROP/Umbrella.

Multiple-Line Underwriting Services – For Internal Use Only



This information and materials are for internal use only and are not approved by American National for release to general public. This information cannot be copied or used for any other purpose without written approval from the authorized representatives of American National. Some materials may not apply to all American National Companies.