Aviva reports “strong general insurance performance” in Canada

Aviva Canada’s general insurance operations reported a 54% increase (to approximately $350 million) in general profit in 2010.
The company credits the improvement to better underwriting performance, combined with benign weather in the early part of 2010.
Following a decision to exit unprofitable business in 2010, Aviva saw a “moderate decline” in premiums in the Canadian market. It “concentrated efforts on growing profits from our book,” an Aviva release says.
In November 2010, the insurer announced cost cuts of roughly $95 million from its North American segment by 2012. As part of this initiative, it reduced its Canadian staff by approximately 300.
“We made further progress enhancing our sophisticated underwriting capabilities and dealt successfully with new regulation in the Ontario auto market, further strengthening our position in this sector,” the release says.
Overall, Aviva’s general insurance combined operating ratio in 2010 was 96.8%, marking an improvement from 2009’s combined ratio of 99%. Its net written premiums grew 6% in 2010 to $15.3 billion.