Many Americans (particularly those that watch televised sports) have watched the Allstate ‘Mayhem’ ads. It features a character that deems himself ‘Mayhem’ and is to be avoided, however when mayhem occurs Allstate is the insurance provider of choice. Here is a link to a recent effort – http://bit.ly/vGytOH

In my mind Allstate was never the lowest cost provider – that’s a sandbox best left to others to play in. Service and reliability are Allstate’s hallmarks. GEICO’s direct-to-consumer approach has resulted in it being one of the most recognizably advertised brands on television (radio and outdoor as well). GEICO’s efforts have forced Progressive, State Farm and Allstate (as well as others like Farmer’s) to raise the stakes to create and run more advertising.

I don’t think much about automobile insurance advertising but was impressed by the Allstate radio spot I heard over the weekend. Starting in October 2011 Allstate began offering free lifetime roadside assistance ‘membership’ to non-customers – that is FREE to everyone. Towing, flat tires, dead battery jumps, locking oneself out of the car, all would be included. This offer is extended to people who do not have any policies with Allstate whatsoever. All you need to do is to call a local Allstate agent.

I love a good offer as much as anyone and as I listened to the spot I have to say I was impressed. For those of us that have children driving that are under the age of 25, the opportunity to have them covered with a tow at anytime (for free) is enticing to say the least.

Several questions immediately came to my mind. How can Allstate afford this? Will premiums have to be raised to pay for the program? What about existing Allstate policy holders? Do they get a rebate or premium relief? Well to begin with users of the service will need to pay a deductible or co-pay each time which will mitigate some of Allstate’s expense. In reality the promotion is a lead generation campaign and will only be as successful as Allstate’s ability to write new policies as a result.

As I mentioned I love a good offer and Allstate has an attention-getting one as far as I am concerned. It certainly beats mayhem wouldn’t you say