Allstate 2015 Annual Report Download - page 67

The Allstate Corporation 2016 Proxy Statement 61
EXECUTIVE COMPENSATION
listed for the annual incentive plan payment upon termination due to a change in control is shown at target as
defined in the change-in-control severance plan.
(3) As of December 31, 2015, Messrs. Shebik and Wilson and Ms. Greffin are the only named executives
eligible to retire in accordance with Allstate’s policy and the terms of its equity incentive compensation
and benefit plans.
(4) The values in this change-in-control row represent amounts paid if both the change in control and qualifying
termination occur on December 31, 2015. PSAs are paid out based on actual performance; for purposes
of this table, the 2013-2015 cycle includes one year at 200%, one year at 180%, and one year at 84.3%. The
2014-2016 and 2015-2017 cycles are reflected at target. Beginning with awards granted in 2012, equity awards
do not accelerate in the event of a change in control unless also accompanied by a qualifying termination
of employment. A change in control also would accelerate the distribution of each named executive’s
non-qualified deferred compensation and SRIP benefits. Please see the Non-Qualified Deferred Compensation
at Fiscal Year-end 2015 table and footnote 2 to the Pension Benefits table in the Retirement Benefits section
for details regarding the applicable amounts for each named executive.
(5) The Welfare Benefits and Outplacement Services amount includes the cost to provide certain welfare benefits
to the named executive and family during the period the named executive is eligible for continuation coverage
under applicable law. The amount shown reflects Allstate’s costs for these benefits or programs assuming an
18-month continuation period. The value of outplacement services is $40,000 for each named executive.
(6) The named executives who participate in the long-term disability plan are eligible to participate in Allstate’s
supplemental long-term disability plan for employees whose annual earnings exceed the level which produces
the maximum monthly benefit provided by the long-term disability plan (basic plan). The monthly benefit is
equal to 60% of the named executive’s qualified annual earnings divided by twelve and rounded to the nearest
$100, reduced by $7,500, which is the maximum monthly benefit payment that can be received under the
basic plan. The amount reflected assumes the named executive remains totally disabled until age 65 and
represents the present value of the monthly benefit payable until age 65.
Performance Measures for 2015
The following pages contain descriptions of the
performance measures used for executive incentive
compensation. They were developed uniquely for
incentive compensation purposes, are non-GAAP
measures and are not reported in our financial
statements. The committee has approved the use
of non-GAAP measures when appropriate to drive
executive focus on particular strategic, operational,
or financial factors, or to exclude factors over which
our executives have little influence or control. The
committee monitors compensation estimates
during the year based on actual performance on
these measures, and the internal audit department
reviews the final results.