Allstate posts higher second quarter net

NEW YORK, July 18 (Reuters) - Allstate Corp. (ALL.N), the largest publicly traded home insurer in the United States, said on Wednesday that earnings rose 16 percent in the second quarter, helped by increased auto insurance sales.

Allstate said net earnings were $1.4 billion or $2.30 a share, up from $1.2 billion or $1.89 a share in the year ago quarter.

Allstate, the second-largest writer of auto policies in the United States, said operating earnings, which analysts use to measure performance because it excludes investments, were $1.07 billion or $1.76 a share.

Analysts on average had expected Allstate, which ranks second to mutually owned State Farm in most U.S. markets, to earn $1.80 a share, according to Reuters Estimates.

In the year ago quarter operating earnings were $1.27 billion or $2 a share.

(Reporting by Ed Leefeldt)

((Editing by Phil Berlowitz; edward.leefeldt@reuters.com; Reuters Messaging: edward.leefeldt.reuters.com@reuters.net; +1 646 223 6315)) Keywords: ALLSTATE RESULTS/

(C) Reuters 2007. All rights reserved. Republication or redistribution ofReuters content, including by caching, framing or similar means, is expresslyprohibited without the prior written consent of Reuters. Reuters and the Reuterssphere logo are registered trademarks and trademarks of the Reuters group ofcompanies around the world.nWEN9422