Nationwide completes $1.25 billion acquisition of Allstate's business

Deal enhances Nationwide's capabilities in stop loss insurance

This article was originally written posted by insurancebusinessmag.com

Columbus, OH, July 2, 2025 — Nationwide has completed its $1.25 billion acquisition of The Allstate Corporation’s employer stop loss business, expanding its presence in the self-funded health benefits market.

The deal closed as outlined in the agreement announced on Jan. 30, 2025.

The transaction enhances Nationwide’s capabilities in stop loss insurance, which offers protection to employers that self-fund their health plans by limiting exposure to high medical claims. The addition supports Nationwide’s broader financial services strategy and provides greater access to small and mid-sized employer clients.

“This acquisition expands the capabilities, specialized expertise and strong partnerships of our financial services organization, positioning our company as a leading provider in the employer stop loss industry,” said Nationwide CEO Kirt Walker. “Enhancing our employer stop loss segment helps us continue to meet the needs of business owners today and into the future.”

As part of the integration, Lindsey Murray, formerly chief operating officer of Allstate Health, has joined Nationwide to lead the newly formed Nationwide Group Benefits segment. She reports to John Carter, president and chief operating officer of Nationwide Financial.

“Lindsey brings a wealth of experience and a proven history of success in the employee benefits market,” Carter said. “Her expertise builds on and complements Nationwide’s core capabilities, helping us drive continued growth as we navigate the evolving financial landscape.”

Murray has held leadership positions across several business lines at Allstate, including voluntary benefits, individual health, and group health.

Allstate CFO Jess Merten said the sale of the Group Health unit is expected to generate a financial book gain of approximately $500 million.

“The sale delivers strong shareholder value and improves growth opportunities for Group Health by joining Nationwide’s stop-loss insurance business,” said Tom Wilson, chair, president and CEO of The Allstate Corporation. “Selling the Group Health and Employer Voluntary Benefits businesses for a combined $3.25 billion demonstrates the strength of these businesses and Allstate’s strategic approach to capital management.”

The transaction is part of a broader realignment for both companies. For Nationwide, the acquisition supports long-term expansion in the group benefits space. For Allstate, the sale is part of its capital management strategy and shift in business focus.