This is a little late in the writing, but we are finally done with Allstate. The whole thing was pretty much as I assumed it was. Their system kicked it out to collections automatically after the account was reinstated to fix the lapse due to the account being marked as behind a few months ago when it was originally canceled. They pulled it out of collections and we paid Allstate directly for our final balance. I've checked my credit and have seen nothing reported from Allstate.
At this point, I believe I am actually completely and totally done with this whole Allstate mess.
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