Topic
Earnings / Ratings
Why the hard market could be unsustainable
September 21, 2021 by Greg MeckbachThe Canadian industry’s combined ratio, at 81% so far in 2021, is at a historic low but this is mainly due to a 23% drop in claims and adjustment expenses, from $20.26 billion in the first six months of 2020,…
Where auto insurers are seeing the biggest profitability improvements
September 17, 2021 by Greg MeckbachCanadian auto insurers saw both an increase in auto premiums and an improvement in their loss ratios in 2020, according to research from A.M. Best Company Inc. “Less miles driven translates into less frequency in auto losses,” A.M. Best director…
Canadian P&C industry’s financial results take a turn for the better
June 18, 2021 by David GambrillCanada’s property and casualty insurance industry reported a much sunnier financial picture in 2021 Q1 than it did during the same time last year, according to a recent quarterly report by the Property and Casualty Insurance Compensation Corporation (PACICC). Financial…
How the feds propose to tax insurers’ deferred profits under IFRS 17
June 10, 2021 by David GambrillCanada’s finance department is looking to avoid a situation in which the new IFRS 17 accounting standards may give Canadian P&C insurers a tax advantage over other Canadian business sectors. Canadian P&C insurers are working hard to update to new…
Fairfax takes a stand against using COVID as a reason to fire staff
May 3, 2021 by Greg MeckbachThe parent company of Northbridge Insurance took a stand against cutting staff due to the pandemic. “One of the things we did last year is we said [to the president of each Fairfax-owned insurer], ‘You cannot use COVID-19 as a…
Why you can expect your reinsurance rates to go up on renewal
April 6, 2021 by David GambrillReinsurers in Canada’s P&C industry had a rough time negotiating through COVID last year, with the sector’s overall combined ratio skyrocketing from a profitable 92.6% in 2019 to an unprofitable 103.7% in 2020. Claims costs were a major force behind…
Why Intact says an upward correction in auto rates could be imminent
April 1, 2021 by Greg MeckbachMotorists could be hit with more premium increases once driving levels return to pre-pandemic levels, Intact Financial Corp. CEO Charles Brindamour suggests. During the early part of 2020, Canada’s auto insurers had a collective combined ratio in auto more than…
Explain how AI leads to underwriting decisions, report urges
March 31, 2021 by Greg MeckbachInsurers who use big data and artificial intelligence to make underwriting decisions must be prepared to explain to clients and regulators exactly how they arrived at those decisions, an Insurance Institute of Canada researcher suggests. “A challenge in the application…
OSFI results: The good, the bad, and the ugly for Canada’s P&C industry
March 25, 2021 by David GambrillCOVID-19 last year might have been the end of the world as we know it, to riff on a song by R.E.M., but Canada’s P&C insurance industry is doing fine — financially, at least. After a full year of the…
2020 results: Did Canada’s insurers “outrun the bear” of claims inflation?
March 23, 2021 by David GambrillCanada’s P&C insurance industry survived the pandemic year of 2020 in good financial health, although some insurers wound up with healthier balance sheets than others, according to financial data published in the forthcoming MSA Research Q4-2020 Outlook Report. “The Canadian…
This mutual aspires to break into Top 10 by the 2030s
March 12, 2021 by Greg MeckbachIf multiple Juno-winner Tom Cochrane were to analyze your industry, he might say, “My Gore’s going to play in the big leagues.” Gore Mutual Insurance Company, based in Cambridge, Ont., has big ambitions. Although the mutual currently commands less than…
What the recovery from commercial hard market could look like
January 26, 2021 by Greg MeckbachBrokers could see a “K-shaped” recovery from the hard market in commercial lines because some sectors have been hit harder by the COVID-19 pandemic than others, panelists observed in a webinar hosted Jan. 25 by Canadian Underwriter. Some commercial lines…