Features
Underwriting performance HERE, and SOUTH
October 1, 1999 Gary Ketchum, managing senior financial analyst at A.M. Best Co.Investment gains have kept Canadian property and casualty underwriting results afloat, but conservative leverage — combined with signs of a market price hardening — now look to provide some additional comfort to the market. However, a comparison of business strategies applied by companies in Canada and their counterparts south of the border suggests that the former will have to place greater emphasis on reducing operating expenses.
INVESTING in a low interest market
October 1, 1999 Cameron Laird, senior vice president of securities investment atWith the potential of gaining profit on underwriting limited by the soft market, property and casualty insurers are increasingly looking at ways of boosting their investment earnings. However, in today’s volatile investment markets, coupled with a low interest rate environment, the task of achieving an above average return is easier said than done — but not impossible. Appropriate risk rating and investment strategy implementation can generate higher gains.
CGU snaps up GAN Canada
October 1, 1999 by Canadian UnderwriterIn a deal valued at $139.5 million, CGU Canada Ltd. has purchased The GAN Company of Canada Ltd. from its French owner GAN International. GAN Canada is the 22nd largest property & casualty group in the country with net written…
INDEPENDENCE or INTERDEPENDENCE?
October 1, 1999 Sean van Zyl, EditorDespite the recent and resounding victory of independent property and casualty insurance brokers in blocking banks from branch retailing of insurance, Canada’s brokerage community faces many challenges on the road ahead. Even without the bank threat, the distribution end of…
The mechanics of Ontario’s collision repair
October 1, 1999 by Canadian UnderwriterOntario’s collision repair industry is undergoing fundamental change — however, it is a change that spells good news for a besieged industry, insurers as well as a beleaguered consumer.
Going for Wholesale or BROKE
October 1, 1999 Lowell ConnThe recent acquisition of insurance wholesale broker KMS Insurance by consolidator The Hub Group emphasizes the change consolidation is bringing about throughout the broker distribution channel. Wholesale brokers and managing general agents have been brought into the market fray of soft rates and the eternal drive for cost-efficiency. Is there a future for this particular breed of broker — most of the players believe so, but each appears to be taking a different course.
Balancing the books on Y2K LITIGATION
October 1, 1999 Steve Hammond, leader of commercial underwriting practices at RoDoes the next millennium begin officially on January 1, 2000 or January 1, 2001? That debate is better left to the academics. What is certain is that January 1, 2000 is the date computers must recognize. It is also the…
INDEPENDENCE ALIVE
October 1, 1999 Sean van Zyl, EditorIf anyone harbored doubts of the political clout capable of the independent broker movement in protecting its business turf, such a notion would have been soundly thrashed by the highly effective campaign wielded against the banks in the latest round…
Lindsey Morden raise revenues, drop earnings
October 1, 1999 by Canadian UnderwriterA dramatic rise in revenue — attributed to the inclusion of extensive international acquisitions in 1998 — and a corresponding decline in net earnings characterisze the second quarter results released by Lindsey Morden Group Inc., parent company of adjusters Cunningham…
Canada/U.S. data shows similar ails
October 1, 1999 by Canadian UnderwriterCanadian and U.S. property and casualty insurance results for the first half of 1999 show a marked decline in earnings, primarily due to weak investment returns and sluggish premium growth. Both the Canadian and U.S. industries witnessed a rise in…
Ratio improves in Co-operators second quarter
October 1, 1999 by Canadian UnderwriterCo-operators General Insurance Company has released its second quarter results showing a marked improvement in its operating ratio over last year’s figures. The combined ratio of claims and operating expenses dropped to 98.5% during the second quarter of 1999 compared…
Low-cost insurer enters the fray
October 1, 1999 by Canadian UnderwriterBrian Johnston, the former president of Liberty Canada Holdings and Cigna Insurance Company of Canada, has launched a new low-cost general insurance company, Markham General Insurance Company. The operation is capitalized at $20 million. Financially backed by a group of…